By Ali Khoddami, founder of Vela K Products Ltd., a registered British Columbia distribution company. Selling brand-direct on Amazon.ca and Amazon.com since 2021. Updated October 13, 2026.

Short answer: a legit Amazon mentor can show you three things before you pay. A registered company you can look up yourself. A business they run today, shown to you live. And a written agreement that states the price, what you get and the refund rules. A legit mentor also never promises you an income. If any one of those four is missing, keep your money.

I run a paid mentorship, so I have a bias here.

Why does this matter more now?

Since 2023 the US Federal Trade Commission has shut down several programs that sold Amazon stores and coaching with big promises:

• Automators AI: the FTC says its operators lured consumers to invest $22 million in online stores. In February 2024 the businesses and two of their owners received a lifetime ban on selling business opportunities or coaching programs involving ecommerce stores.
• Passive Scaling, later called FBA Machine: the FTC says the scheme cost consumers more than $15.9 million. In July 2025 the FTC announced a proposed order that would permanently ban its operator from selling business opportunities.
• Ecommerce Empire Builders: the FTC says the company promised buyers large monthly profits. In May 2025 an order permanently banned the company and its owner from selling business opportunities of any kind.
• Click Profit: the FTC says it cost consumers at least $14 million, and that Amazon blocked, suspended or terminated about 95% of its stores. In August 2025 the FTC announced a proposed settlement that would permanently ban Click Profit and its owners from the industry.

The pattern repeats: a promise of income, an online store sold as the way to get it, and buyers who lost money, by the FTC's account. The checks below are built to catch exactly that.

What should you check before you pay a mentor?

1. Look up the company yourself

A real business is registered somewhere you can check. In British Columbia, OrgBook BC is the public directory of organizations registered in the province. In the USA, every state has a business search. Check that the company on the agreement is the company you are paying, and that it existed before the ads did.

2. Ask to see the business run, live

Screenshots prove nothing, because they can be edited. Ask for a short screen share that shows the business working today, such as live sales. A mentor does not have to open their account settings for you, and you should never be asked for your own login. Treat any sales figure as proof that the business runs, not as a promise: sales are not profit, and another seller's results say nothing about yours. A mentor who leads with sales numbers in ads is selling the wrong thing.

3. Find out who actually teaches you

Many programs are sold by a founder and delivered by a team. That can be fine, but you should know before you pay. Ask how many private sessions are included, who runs them, and get the answer in writing.

4. Read the agreement before you pay

The agreement should state the price and payment schedule, what is included, how long you have access, and the refund and cancellation rules. In BC, a business that signs you up online has to give you a copy of the contract within 15 days. If it does not, you can cancel within 30 days. A program that will not show you its agreement before the checkout is telling you something.

5. Treat any income promise as a red flag

The FTC's guidance for sellers of business opportunities is direct: it says "it's illegal to make an earnings claim unless you have written materials on hand that back up what you're saying." In Canada, the Competition Act looks at the general impression an ad gives as well as its literal words. A page that never states a number but shows cars, cash and screenshots of sales is still making a claim. A legit mentor tells you what the program contains and what it costs. They do not put a number on your future income.

6. Make sure you own everything

The company, the seller account, the stock and the brand accounts should be in your name and under your control. Be careful with stores that someone else runs for you inside an account you paid for. If a mentor needs to look at your account, Amazon's User Permissions feature gives them their own login with limited access. An Amazon staff post on its seller forums puts it plainly: do not share your password, use User Permissions instead.

7. Read the reviews like an investigator

Look for reviews from named people on a platform the business does not control, such as Google. Read the middle ratings, not only the five stars, and check the dates. Reviews about the experience are useful. Reviews that quote earnings are a warning, for the same reason as check 5.

8. Watch for pressure

A real deadline is written down and applies to everyone. "Only two spots left tonight" usually is not. You should have time to read the agreement, talk it over with your spouse or business partner, and decide without someone waiting on the phone.

What should you ask on the call?

• What company am I paying, and where is it registered?
• Can you show me the business running today, live on a screen share?
• Who runs my private sessions, and how many are there?
• Can I read the agreement and the refund rules before I pay?
• What do you not promise?
• Will the company, the account and the stock be in my name?

Where do I stand?

Vela K Products Ltd. is a distribution company registered in British Columbia, with an office in Coquitlam and a warehouse in Blaine, WA. I sell brand-direct on Amazon.ca and Amazon.com, buying straight from brands with real invoices, which is what Amazon asks for. If you want the detail on that, I wrote it up here: Why Does Amazon Keep Rejecting My Invoice?

Every private session is with me, one to one. The full agreements and refund rules are public on the Terms of Purchase page, so anyone can read them before paying. You own and control the company, the account, the stock and the brand accounts. Our reviews are on Google, 5.0 from more than 40 reviews.

And the three things I will not promise: an income or a result, that any brand will say yes, or how fast it goes. Stock can sell slower than planned or at a lower price, and money can be lost. A brand can decline. Amazon can restrict a listing or an account. A good mentor reduces those risks. Nobody can remove them.

Common questions

Are Amazon FBA mentors worth paying for? It depends on what you get and who you get it from. A mentor is worth it when they help you avoid the mistakes that cost money: the wrong product, the wrong brand, the wrong paperwork. No mentor can promise you a result.

What is the biggest red flag in an Amazon coaching program? A promise of income. The FTC has banned several Amazon store and coaching operators whose pitch was built on earnings claims.

Can an Amazon mentor promise results? No. Brands decide who they approve, customers decide what they buy, and Amazon decides what stays listed. Anyone who promises an outcome is promising something they do not control.

Should my mentor have my Seller Central password? No. If someone needs access, add them through Amazon's User Permissions so they have their own login, and remove them when the work is done.

How do I check that a mentor really sells on Amazon? Ask them to show the business working today, such as live sales, on a screen share. Screenshots and sales charts can be edited, and a live screen share is much harder to fake. Then look the company up in a public registry. Sales show that a business runs. They do not show profit, and they are not a forecast for anyone else.

What should an Amazon coaching agreement include? The company name, the price and payment schedule, exactly what is included, how long access lasts, and the refund and cancellation rules. Read it before you pay, not after.

The short version

Look the company up. See the business run live. Read the agreement first. Walk away from any income promise. Own everything in your own name. Read the honest reviews. Take your time. If a mentor passes all eight checks, they are worth a call. If they fail one, keep your money.

The programs, the agreements and the application for a call are on the Programs page.

Sources

• FTC, August 2023: action against Automators AI
• FTC, February 2024: ban for the owners of Automators AI
• FTC, September 2024: the case against Passive Scaling and FBA Machine
• FTC, July 2025: proposed ban for the FBA Machine operator
• FTC, May 2025: Ecommerce Empire Builders
• FTC, March 2025: action against Click Profit
• FTC, August 2025: proposed settlement with Click Profit
• FTC: the Business Opportunity Rule and earnings claims
• Competition Bureau Canada: the general impression test
• Consumer Protection BC: cancelling an online contract when you did not get a copy
• OrgBook BC: public directory of BC organizations
• Amazon staff answer on the seller forums: use User Permissions, do not share your password

Ali Khoddami is the founder of Vela K Products Ltd., a distribution company registered in British Columbia, Canada, with operations in Coquitlam, BC and Blaine, WA. He teaches brand-direct Amazon wholesale through Vela K Academy. Vela K Products Ltd. is not affiliated with, endorsed by, or sponsored by Amazon.com, Inc. This article is educational and is not legal, tax, or financial advice.