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Gunsmithing Getting a FFL license

Re: Getting a FFL license

Nothing hard about it at all. You want to make sure you have the proper zoning for an FFL as that is one of the first things BATFE will check. You want to make sure you answer all the trick questions on the FFL app correctly. You need to decide what type of FFL you are going to apply for and then go through a compliance inspection prior to issuance of the license.
 
Re: Getting a FFL license

Like said above, make sure you check into the laws of your city (if you are in the city) and/or county. Some cities are a real pain if you want to go the home FFL route. You will have to get your chief of police (if city) or sheriff to sign off on your paperwork before sending to ATF. Make sure they will do this for you as well. You might also think about forming a LLC to protect yourself legally. It is not very hard to do and you will also need to file with the state to get a tax license to collect sales tax..really easy to do as well.

If you have any questions while filling out the forms, call ATF, they were pretty helpful to me when I did mine. And last, be prepared to wait. It took me about 4 months to get mine last year.
 
Re: Getting a FFL license

<div class="ubbcode-block"><div class="ubbcode-header">Originally Posted By: veezer</div><div class="ubbcode-body"> Some cities are a real pain if you want to go the home FFL route. </div></div>

I didn't think the BATFE allowed home based gun shops any more. For a few years now I've been under the impression that you have to have a bonafide storefront to pass muster with the Feds regardless of what the locals dictate.
 
Re: Getting a FFL license

<div class="ubbcode-block"><div class="ubbcode-header">Originally Posted By: WileyC</div><div class="ubbcode-body"><div class="ubbcode-block"><div class="ubbcode-header">Originally Posted By: veezer</div><div class="ubbcode-body"> Some cities are a real pain if you want to go the home FFL route. </div></div>

I didn't think the BATFE allowed home based gun shops any more. For a few years now I've been under the impression that you have to have a bonafide storefront to pass muster with the Feds regardless of what the locals dictate. </div></div>

It is dependent upon if you keep regular hours or "by appointment only" hours from what I understand. Also, if you have a separate building for a shop, instead of just an attached garage or something like that, it's not as stringent.
 
Re: Getting a FFL license

I had no problem getting a home FFL. For my hours, I just put down hours after work (5-8 pm) and weekend hours. On the form, you cannot put "by appointment", so just put in there what hours you can physically be available. I told them that my primary business would be refinishing out of my basement and they had no problem with my plans. I guess it might depend on what agent you get coming to your house.
 
Re: Getting a FFL license

They will allow home based FFLs, but ponder this. You are basically opening your home up for inspection to the BATFE. You are giving them the right to have access to your home.
 
Re: Getting a FFL license

It depends on where you live and what the city/county ordinances are. Check with them and see if there is any permits or license you need from the city/county you live in.

The ATF paperwork is pretty straight forward.
 
Re: Getting a FFL license

<div class="ubbcode-block"><div class="ubbcode-header">Originally Posted By: Falar</div><div class="ubbcode-body">They will allow home based FFLs, but ponder this. You are basically opening your home up for inspection to the BATFE. You are giving them the right to have access to your home. </div></div>


Best bet is to have a non attached structure to work from that ALL business records are kept in. Label it "building 2" and then list the address as "building 2" on the forms. Then they can't come into the house during an inspection.
 
Re: Getting a FFL license

<div class="ubbcode-block"><div class="ubbcode-header">Originally Posted By: Falar</div><div class="ubbcode-body">They will allow home based FFLs, but ponder this. You are basically opening your home up for inspection to the BATFE. You are giving them the right to have access to your home. </div></div>

You are giving them access to everything when you get your FFL, whether it's shop or home based.

#1 rule is keep good records, always expect an inspection so keep everything filed properly.
 
Re: Getting a FFL license

You should have a area of your home that has its own outside access. The BATF will inspect and you do not want them walking through your home. You will also have to state your business hours and they will do a unannounced inspection during those hours. Once you have your shop established you will have to keep your personal firearms out of the shop or you will have to log them into your shop. We just lost a shop in town back in 2005 because there was a lot of personal firearms in the store that were not in the books. They gave him the option of paying heavy fines or giving up his FFL. One thing to remember is that the BATF inspectors are there only to try and take your FFL away from you. I gave mine up back in 1996.
 
Re: Getting a FFL license

Getting an FFL for private firearm purchases is highly frowned upon by the ATF. If you do keep your personal firearms w/ your inventory they want you to put tags on the gun stating what is personal and what is inventory
 
Re: Getting a FFL license

<div class="ubbcode-block"><div class="ubbcode-header">Originally Posted By: CDiPrecision</div><div class="ubbcode-body">they want you to be engaged in Business. Like the post above says... A collector with an FFL is not liked by the Govt. You need to show activity on your book or they may not renew you in the future. </div></div>

You'd think denying it for that basis would be unconstitutional. They set the rules requiring an FFL for out-of-state purchases; I'm just trying to follow them. If I had the time, I'd take em to court on that issue.
 
Re: Getting a FFL license

Well, the whole thing is unconstitutional. But if they only see what they think is "collector" activity, they wont be happy. the "purpose" of an 01 FFL is for running a business.

I dont agree with it, but it is what it is.

I dont do much retail here, but I do cheap FFL transfers for folks. Gunbroker, etc stuff.. easy money and keeps the book active.
 
Re: Getting a FFL license

Steps to getting a home-based Federal Firearms License (FFL):

1) If you want to work out of your home, check your local zoning ordinances and Homeowner Association CCR's, if any. If either document prohibits you from obtaining a business license at your residence, go no further. The ATF will not issue you an FFL.

2) Check with your homeowner's insurance to see how much it will go up if you run a firearm business out of your home. Hopefully you have a local agent who you've personally known and worked with for many years, as the flunkie on the toll-free call center phone will probably freak at your questions. You may find the increase in premium alone makes getting an FFL unviable.

3) Another question for yourself - are you comfortable filing federal and state tax returns every quarter, and sales & use tax returns every month (if your state has sales & use taxes)? If not, add CPA services to your list of expenses.

4) If you've gotten to this point, find an attorney to help you form a S Corp, C Corp, or LLC (most folks go with an LLC). This is not the time to go with a DIY document off the internet, especially if you plan on dealing in NFA toys. Besides, being in the firearms biz, you're going to need an attorney sooner or later anyway; might as well get to know one now.

5) Once your corporate entity is formed, obtain any necessary state and local business licenses to run a business. If you don't have these, the ATF will not issue an FFL. See #1 (and yes, they go to your county or city courthouse and check).

6) Call the ATF Distribution Center (301-583-4696) and ask for an application packet. It will include several copies of the application (no carbons unfortunately), fingerprint cards, and instructions. FFL Types & Fees

<–– 07 FFL / 02 SOT

Note: If you get a Type 06 (ammunition manufacturer), 07 (manufacturer), or 10 (DD manufacturer) FFL you will also have to pay ITAR fees to the Department of State each year. In 2008 the fee went up from $500/year to $2250/year. This fee must be paid even if you never export an item you produce.

US Dep't of State Directorate of Defense Controls - ITAR