Amazon tile distributors in the USA

11 Apr 2025

How to Spot Fake or Scam Wholesale Distributors for Amazon FBA

Starting an Amazon FBA business often means finding reliable wholesale distributors. However with the rise of online scams, many new sellers fall into the trap of fake suppliers. Choosing the wrong distributor can cost you time, money, and even your Amazon account. In this blog, we’ll guide you on how to spot scam wholesale distributors and ensure you’re working with trusted sources.

Why Scam Distributors Are a Major Risk for Amazon FBA Sellers

Scam distributors can:

  • Sell counterfeit or low-quality products.

  • Never ship your inventory after payment.

  • Leak your personal/business data.

  • Cause your Amazon account to get suspended due to inauthentic products.

To protect yourself, it’s crucial to know what red flags to look for.

1. Check for a Legitimate Business Website

Fake wholesalers often have:

  • Poorly designed websites.

  • No SSL certificate (website URL doesn’t start with https).

  • Generic content with no contact info or About page.

✅ Look for a professionally designed site with clear business info, return policies, and real product listings.

2. Verify Contact Information

Scam distributors usually provide:

  • Only email addresses (no phone numbers).

  • Unverifiable physical addresses.

✅ Use Google Maps to verify their physical location and call their phone number to confirm it works.

3. Avoid Sellers Who Demand Upfront Payments Without Proof

Scammers often ask for:

  • Full payment upfront via non-secure methods like Western Union or cryptocurrency.

✅ Use secure payment methods (PayPal, credit card, escrow services) and request invoices or samples before large orders.

4. Check for a Business License and Tax ID

A real wholesale distributor should be able to provide:

  • A business license.

  • Federal Tax ID or EIN (Employer Identification Number).

✅ Ask for these documents and verify them with state or local government directories.

5. Look for Red Flags in Email Communication

Be cautious if you notice:

  • Poor grammar or misspelled brand names.

  • Pressure to make fast decisions.

  • No proper business domain (e.g., using Gmail or Yahoo).

✅ Legit companies communicate professionally and have email addresses ending in their domain name.

6. Verify Their Product Authorization

If a distributor claims to sell brand-name products, confirm:

  • They are an authorized reseller.

  • They can provide brand authorization letters.

✅ Without this, Amazon may flag your products as counterfeit.

7. Search for Online Reviews and Complaints

Scam wholesalers usually have:

  • No online presence.

  • Negative reviews on forums like Reddit, Trustpilot, or BBB.

✅ Do your due diligence and research before making any payment.

8. Request Product Samples

Before a bulk order, ask for a sample:

  • Genuine wholesalers will send samples at a minimal fee.

  • Scammers will avoid this or overcharge.

✅ Testing samples helps verify product quality and packaging.

9. Avoid Middlemen Posing as Wholesalers

Real wholesalers:

  • Sell products in bulk at low prices.

  • Don’t charge monthly membership fees or hide prices.

✅ If you’re asked to pay for access or get vague pricing, it’s likely a scam or a middleman.

Final Thoughts

Protecting your Amazon FBA business starts with proper vetting. Take your time to research and verify before doing business with any distributor. By following these tips, you’ll avoid scams and build a trustworthy supply chain for long-term success.

Need Help Finding Verified Wholesale Distributors?

At [wholesalecentraldirectory], we help Amazon FBA sellers connect with reliable suppliers. Contact us today for a list of verified distributors you can trust.