getting a FFL

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threeg45
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getting a FFL

Post by threeg45 »

I am going to get the FFL but after doing some reading it appears that the BATF do not want FFL's to work out of their home. My business is still to small to afford a store front, but I want to move forward. I did not read on the FFL app anything about the location other than the address. Any thoughts?
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tacticool
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Re: getting a FFL

Post by tacticool »

They used to be more friendly but they tightened up during the Clinton years as a backdoor to limiting gun shows. They don't prohibit a "home business" but they require business hours now, and I hear they check to make sure a home business FFL has the necessary business licenses, complies with zoning and HOA rules, etc.

Also remember they can inspect the business premises so if I had a home business FFL, I want a separate entrance at least. A separate structure (workshop, detached garage office) is even better.
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Re: getting a FFL

Post by threeg45 »

Thank you. Good advise.
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Re: getting a FFL

Post by pbwalker »

This doesn't apply to C&R does it?

I've been half tempted to get my FFL 3 just for the discounts to FFL's (such as Midway).
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tacticool
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Re: getting a FFL

Post by tacticool »

My comments were for a home business FFL, not a collector license.
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UpTheIrons
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Re: getting a FFL

Post by UpTheIrons »

I don't know if it helps or hinders the discussion, but my FFL works out of his house. I can only pick up from him after 5 pm, and he recently upgraded his license to handle Class III firearms. Maybe he's in the wrong, but he just got approved for the Class III license, so maybe they're relaxing the rules again?
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Re: getting a FFL

Post by mrvmax »

You can be an FFL working out of your house, my friend just got his. It would be easier to set up an LLC and you need to make sure your localities allow businesses operating out of homes. If you are serious set up an LLC and make sure you have a safe. You will also need to get a tax ID and start submitting taxes to the state.
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Re: getting a FFL

Post by chabouk »

pbwalker wrote:This doesn't apply to C&R does it?
No, because a C&R is specifically not in business, needs no business license, zoning, or approval.
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Re: getting a FFL

Post by The Annoyed Man »

I've purchased 3 firearms from a home-based FFL — Sporting Arms — in Lewisville. They have a website (http://www.sportingarms.com), and a "store" located in a dedicated room in their home; they keep inventory on hand; and they have business hours. But as far as I can tell, the only entrance to the "store" is through their front door.
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threeg45
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Re: getting a FFL

Post by threeg45 »

Thank for the input. I already have the business incorporated and have the fed number etc. Checking with the city exactly what they require. I am going to go ahead with my plan.
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Re: getting a FFL

Post by Shorts »

Greg, keep us posted how things work out. I'm an LLC working out of my home and I have the FFL app in hand. I'm still debating whether or not to submit it. I'm not excited about having "posted hours" and the city ordinances says my home cannot look like a store and I cannot have traffic come and go like it is. So, I'm still researching if it is a good idea or not.
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Re: getting a FFL

Post by Salty1 »

You can run the FFL business out of your home, you need to have posted business hours and actually be in the business. The ATF will spend almost an entire day with you prior to granting the actual license. They will not allow FFL's to just purchase at wholesale prices for personal use. The ATF has been pulling the licenses of people who are not actually running a business. You will need all of the appropriate business licenses, if you live in a HOA community then you will also need the HOA's written approval. The entire FFL process is a pita, once you receive your FFL then getting the distributors to sell to you can take some time, and for the most part you will be on COD or have to pay with a credit card. Many of the larger wholesale distributors will only sell to stocking dealers who have an actual storefront. Very few manufacturers sell direct to FFL's. The gun industry is very competitive, internet sales do not help as many people will buy that way just to avoid the sales tax. From our experience we get profit margins in the single digits in order to be competitive. Do not expect your business to be immediatly successful, it takes time to build a loyal customer base and you need to be available for your FFL transfer customers on their schedules not necessarily your own. Our initial start up costs were in the $5k range so expect it to take some time to see a return on your investment, from my perspective if your not in this for the long term then it is not worth pursuing, you won't get rich but will get to handle all kinds of great guns...... maybe even some Glocks... :boxing
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Re: getting a FFL

Post by chabouk »

You must be open during your stated business hours, which you list on your application. Even if you hold yourself out to the public to be open by appointment only, or internet-only, you still have to state your businesses hours, and you must be available for inspection if the ATF drops by unannounced during those hours. (I assume they make allowances for vacations and emergencies.)

You're also free to list your business hours as 6-7pm on Thursday.
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Re: getting a FFL

Post by TheReverend »

Sorry to interrupt but does one need a FFL in order to be ammo seller / distributor?
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Re: getting a FFL

Post by wgoforth »

I just got off the phone talking with the ATF agent in Dallas ~trying~ to ask her some questions about applying for FFL's and could I use it out of my house or would I be required to have an office or office hours.... she was extremely rude and patronizing. When I asked her "I wouldn't have any stock, just do transfers." She started saying "Why are you doing transfers when you don't have a license." grrr. Every time I would try to explain "mam, I don't think your understanding what I am asking, let me rephrase." She would say "I understand perfectly and my answer is such n such." If this is any indication of the attitude of these guys (gals), I think she would raid my house just for fun.
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