If you want to open Amazon FBA in Michigan, you usually need to do five things in order:
- Choose your setup: sole proprietorship vs single-member LLC.
- Get your federal and Michigan registrations in place before launch.
- Verify county and city permit, zoning, storage, and home-business rules, especially if you are in Detroit.
- Open and verify your Amazon seller account, choose the right selling plan, and activate the FBA branch.
- Launch only after your product, tax, sourcing, listing, fulfillment, and insurance setup are ready.
Practical first-launch recommendation
If you are testing casually with minimal risk, sole proprietor can work.
If you intend to build a real Amazon FBA business, single-member LLC is usually the better long-term path.
Avoid these first-launch mistakes
- Assuming Amazon sales-tax collection answers every Michigan resale and registration question
- Using a brand or storefront name without choosing the right Michigan county or state name filing
- Treating a home location as automatically allowed for storage or shipment prep
Michigan-specific friction
Sole-proprietor name filings are county-based, so the filing path and fee are local rather than one-size-fits-all.
- Sole-proprietor name filings are county-based, so the filing path and fee are local rather than one-size-fits-all.
- Michigan's marketplace-facilitator rule is friendly to a pure Amazon-only seller, but the resale-certificate branch can still push you toward registration if you need a Michigan retail sales-tax license number for suppliers.
- Michigan LLCs are not especially expensive to form, but the February 15 annual-statement date is easy to miss if you launch quickly and stop thinking about compliance.
- Michigan employment rules now include the Earned Sick Time Act branch, which is separate from unemployment and workers' compensation.
Amazon-specific friction
Amazon category access, approvals, and FBA eligibility are separate issues.
- Amazon category access, approvals, and FBA eligibility are separate issues.
- Amazon wants strong identity, sourcing, and authenticity documentation.
- Amazon pricing and onboarding facts can change, so re-check them on the day you act.
Insurance reality
A physical-product seller should expect to think about commercial general liability and product liability coverage before Amazon forces the issue.
- A physical-product seller should expect to think about commercial general liability and product liability coverage before Amazon forces the issue.
- Public Amazon-owned seller-forum guidance says insurance is required within 30 days after exceeding USD 10,000 in gross proceeds in one month on Amazon.com, or earlier if Amazon requests it.
- The controlling Amazon Services Business Solutions Agreement wording is still partly gated, so treat the public forum evidence as a warning signal and re-check the live Seller Central agreement before relying on it.