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 23, 2026.

Short answer: a supplier is authorized when the brand says so, not when the supplier says so. Ask the brand which distributors it authorizes in your country, and get the answer in writing. Then check that the supplier's invoices show its full business details and products that match your listing. If a supplier cannot show the chain back to the brand, treat it as unauthorized, however good the price looks.

When you move off arbitrage, one of the first traps is a supplier with great prices and no link to the brands it sells. Below are the three kinds of suppliers you will meet, the five checks I run before every first order, and what I keep on file. It is written for sellers who already sell on Amazon and want suppliers that hold up.

The three kinds of suppliers

The brand. The company that owns the product and the trademark. Buying here gives you the cleanest paper trail and the brand's own pricing.

An authorized distributor. A company with an agreement to sell the brand's products, usually in a set territory. Its invoices connect you to the brand, and many brands send smaller resellers to their distributors.

Everyone else. Liquidators, closeout buyers, other resellers and companies that buy stock in one store or country and sell it in another. Many are legal businesses. But they are not part of the brand's chain, so their invoices may not protect you if a brand files a complaint on Amazon.

Why it matters on Amazon

When a brand files an authenticity complaint, Amazon usually asks for invoices. An invoice from a company the brand does not recognize does not answer the question Amazon is asking, which is where the product came from. In the United States, reselling genuine goods is generally protected. But a brand can argue that units sold outside its authorized channel are materially different, for example because the warranty does not cover them. Traverse Legal sets out how that argument works.

Some brands also put a unique code on every unit through Amazon's Transparency program. Amazon says more than 2.7 billion units have been verified as genuine through it. For FBA stock, codes are scanned when units arrive at a fulfillment center, and units without a valid code will not pass the check. Amazon explains Transparency here. If you buy an enrolled product from a source that cannot give you valid codes, the problem starts before your stock ever sells.

The five checks I run before a first order

Check 1: Ask the brand, not the supplier

Email or call the brand's sales team and ask one question: is this company an authorized distributor for your products in Canada, or in the USA? Many brands list their authorized dealers or distributors on their own website. A supplier's word is not enough, because anyone can say they are authorized.

Check 2: Make sure the company is real

Look the company up in the business registry where it says it operates. In Canada that is the federal or provincial corporate registry. In the USA it is usually the Secretary of State of the company's state. Check that the address, phone number and website match, and that you can reach a person. A supplier with only a free email address and a mobile number is a warning.

Check 3: Look at an invoice before you pay

Ask for a sample invoice or a pro forma. It should show the supplier's legal name, address, phone and email or website, your company's name and address, the date, the quantities, and product names that match what you will sell. If the supplier will not put its full details on an invoice, that invoice will not help you when you need it. I go through invoice details in Why Does Amazon Keep Rejecting My Invoice?

Check 4: Get the authorization in writing

The best proof is an email or a letter of authorization from the brand that names the distributor, or names you. A letter the supplier wrote about itself proves nothing. Save the brand's reply with the invoices for that product.

Check 5: Start with a small order and inspect it

Check the packaging, labels, lot codes, expiry dates and seals against the brand's own retail product. Look for Transparency codes if the brand uses them. A first order is a test of the supplier as much as the product.

Red flags I walk away from

Prices far below the brand's own wholesale prices. If the price is lower than what the brand charges its distributors, ask where the stock came from.

Invoices sold for category approval. Some services sell invoices to help you get approved in a restricted category. Amazon can try to verify the supplier on an invoice, and false documents can cost you the account.

No straight answer about the brand. An authorized distributor can tell you which brands it carries and how long it has carried them. A vague answer is an answer.

Payment to a personal account, before any paperwork. A real distributor has a business bank account, an account application and terms.

Pressure to buy today. Real distributors live on reorders. They do not need you to decide in an hour.

The supplier tells you which Amazon listings to sell on. That usually means it sells to many resellers on the same listings, often without the brand's approval.

Authorized does not always mean allowed on Amazon

Some brands authorize stores and distributors but limit where their products can be sold online, or keep Amazon to themselves or to one seller. Authorization is often limited by territory too. A distributor authorized for the USA may not be authorized to sell into Canada. Ask the brand directly whether you may sell its products on Amazon.ca, Amazon.com or both.

What I keep on file

For each brand: the brand's email or letter of authorization, every invoice in my company's name, purchase orders, payment records and packing slips, filed by brand and by ASIN. Keep tax records as long as your tax rules require. In Canada, the CRA general rule is six years from the end of the last tax year they relate to.

Working with an authorized supplier the right way

Respect the brand's pricing policy. Do not change the product, the packaging or the brand name on the listing. Reorder before you run out, and pay on time. Tell the brand when you see a problem on its listing, such as a seller you think is selling fakes or a wrong image. That is how a reseller can earn better terms over time.

Common questions

Is buying from a distributor as good as buying from the brand? For your paper trail, an invoice from an authorized distributor is a strong document. The difference is usually price, because the distributor keeps a margin.

What is a letter of authorization? A signed letter or email from the brand that says a company may buy and resell its products, sometimes naming the territory and the channels, such as Amazon.

Can I use invoices from a liquidator? You can buy from one, but the invoice shows a purchase, not the brand's supply chain. If a brand complains, it may not be enough.

Does a large supplier mean it is authorized? No. Size is not authorization. Ask the brand.

What if the brand never replies? Follow up a few times. If it still does not answer, choose another brand. Do not fill the gap with a supplier you cannot verify.

The short version

Ask the brand who is authorized, check the company is real, see an invoice before you pay, get the authorization in writing and inspect a small first order. Walk away from prices that make no sense and from anyone selling invoices. If you are still moving off arbitrage, start with How Do You Move From Arbitrage to Brand-Direct Wholesale?

I teach brand-direct wholesale one to one, in a paid private mentorship, and we check suppliers together before money goes out. To apply for a call, start at academy.velakproducts.com/programs. No result is promised.

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.