How do I review an Amazon seller’s inbound shipping plans to the warehouse?

Request the full shipment history, with dates sent, dates checked in, quantities planned and quantities received. Differences between the two deserve a conversation. Ask how the seller followed up on missing units, whether claims were filed, and whether any money was recovered.

Then look at the planning behind it. How does the seller forecast what to send, and how far ahead? Ask about the freight forwarder, carriers, packaging, labelling and any prep service, and whether those contracts are written. Check for seasonal peaks, when the warehouse may be slower to receive stock.

Compare this to the cash picture. Stock in transit is money you cannot sell yet, so ask your accountant how much sits in shipments at any time. Ask for the open purchase orders and what the buyer would inherit at closing. Finally, find out who holds the logins for the freight and prep accounts, and ask the forwarder whether it will work with the new owner on the same terms. Ask also how the seller reacts when the warehouse splits a shipment across locations, because extra freight and delays are easy to overlook in plans.

Key takeaways

• Get the shipment history comparing units planned with units received.
• Ask how missing or damaged units were followed up and whether claims were recovered.
• Identify open orders, in-transit stock and who owns the freight accounts.
• Ask how split shipments, delays and extra freight costs have been handled.