Over the past month, the Amazon seller community has been flooded with the same news almost every day:
“Starting August 24, Amazon will completely ban the transfer of stores!”
“Payment collection rights have been frozen, and the business has been permanently shut down due to a change in ownership!”
“Mainland companies can no longer switch to a Hong Kong entity—hurry and take advantage of this final window of opportunity!”
The group chat was filled with cries of despair; some stayed up all night trying to get their service providers to expedite a change of account owner, while others began frantically selling off their accounts.
But I want to say something that might get me some flak:
Most of these rumors are false.
In today’s post, I’ll explain in the simplest terms possible exactly what the new regulations announced on August 24 have changed and how they’ll affect you.
In late May 2026, Amazon issued a simultaneous announcement via the Seller Central dashboard and official email: Effective August 24, 2026, Section 18 of the Amazon Business Solutions Agreement (BSA) will be uniformly updated across all global sites.
Article 18 of the Previous VersionIt says:
“You may not assign this Agreement by legal act or otherwise without our prior written consent.”
Article 18 of the New VersionChanged to:
“You may not assign this Agreement by legal act or otherwise without our prior written consent.”You may not assign or pledge all or any part of your rights or obligations under this Agreement or arising therefrom. “
Simply put,Amazon had previously only prohibited the private sale of accounts; now it has also shut down the option of ”using future store revenue as collateral to secure a loan.”
A change to just one sentence was misreported as a ”complete ban on account ownership transfers” and ”accounts being permanently locked and unable to be changed.”
Comparing an Amazon store toA house, comparing the process of registering a company toThe name on the property deedThe
old rules: If you want to transfer ownership of a house to a relative, all you need to do is sign a private agreement between the two of you; the Housing Administration Bureau doesn't enforce the rules very strictly.
New Regulations: It’s still the same house, butYou can no longer change the name on a property title deed at will.. Are you thinking of transferring the title?
Amazon isn't stopping you from ”transferring ownership”; it's just afraid of you.Private Resale of Real Estate(Account Sales) andUsing a Property Deed to Borrow from Loan Sharks(Receivables Pledge).
It's that simple.
This is the issue everyone is most concerned about.
Let me start with the conclusion: It is possible to switch, but the requirements have become much stricter.
After August 24, the review criteria for cross-entity changes (mainland company → Hong Kong company) willStrict Assessment——Changes to cross-regional entities will be treated by the platform as≈Account TransferThe
What does that mean?
previously: If you have a mainland company store and want to switch it to a Hong Kong company, as long as you have all the required documents and can complete the process through the backend system, it will most likely be approved.
Now: The platform will ask—What gives you the right to replace it?
special reminder: Currently, the self-service option for modifying the entity in the admin panel has long been grayed out and disabled. Whenever you wish to make a change,You must all proactively open a case to request written permission from Amazon.. Stop fantasizing about being able to ”switch it with just a few clicks behind the scenes.”
The new regulations effectively block these three avenues:
Article 1: Buying and Selling Accounts.
Accounts purchased for tens of thousands of yuan, or VC accounts purchased for millions—as of August 24, they could become worthless at any moment. Amazon does not recognize any privately signed transfer agreements.
Article 2: Pledge of Receivables.
The old practice of using ”receivables due in the coming months” to secure cash flow has been completely shut down. Receivables must now be deposited into the registered entity’s account.
Article 3: Unrelated Shell Companies.
The practice of ”changing the business license and continuing to operate” without any equity relationship has essentially become ineffective.
The following three types of people should be concerned:
Sellers who operate in compliance with regulations have no reason to worry.
You’ve been honest and straightforward—you registered your own company, run it yourself, haven’t engaged in any under-the-table account trading, and haven’t used your receivables as collateral—These new regulations are actually good news for you.. Once non-compliant players are weeded out, compliant sellers will have a fairer competitive environment.
If you fall into any of the following categories:
This isn't a problem that can be solved with just a few clicks ”behind the scenes.”
This involvesProof of Ownership, Corporate Structure Design, Tax Compliance Coordination—A mistake at any stage can result in anything from a failed review to, in the worst case, permanent suspension of the store and freezing of funds.
Leave the job to the experts.
Enterprise Finance Group, founded in 2015 and headquartered in Shenzhen, specializes in cross-border e-commerce tax and financial compliance and the establishment of corporate structures. The core team comes from top accounting firms, with an average of 8 to 15 years of professional experience. We have been supportingMore than 500,000 businessesEmbarking on the entrepreneurial journey from zero to one.
Whether it isCompliance reviews for entity changes, Hong Kong company registration, equity structure design, or cross-border tax planning... Qicaiying can provide all of these for youA One-Stop Solution from Diagnosis to ImplementationThe
👇 If you have any requests, please feel free toScan the QR code to contact our customer service team::WeChat: qcygscszk or call 18676749275

In the next post, I’ll break down in detail: What documents are required to convert a mainland company into a Hong Kong entity? And what kind of ”affiliated relationship” does Amazon recognize?