Have been planning of opening a small shop for years and have been researching it hard lately. Any small shop owners on here? Mind telling me a little info on what to watch for and tips? I have read and am aware of the ffl stuff. How do you advertise? Where? Stuff like that. Also I plan to run it from a small shop at my home. Bad idea? If so why? Not looking to get rich but making a dollar or two would be nice.

Your County zoning ok with that?....

I believe so because I have a friend up the street building custom 1911's

Where in MS?

I'm in Tishomingo County and have a shop. County business license, state resale certificate, plus the 01/03 along with the EIN from federal.

PM me if you wish with questions or jump over to MS HT Forum,

Anyone else have insight?

The best tip I could give you is to read everything at ATF.gov................twice. Do this before you have your licensee interview and you'll impress the IOI.


Start here: https://www.atf.gov/sitemap?a_z=true
Especially:
FAQ's
Rulings
Open Letters
FFL Newsletters
Title 27 CFR Chapter II, Part 478 Commerce in Firearms and Ammunition
The instructions on the 4473 and Multiple Sale forms.

Thanks man!! I will check it all out.

In my experience, when considering a gun business, it isn't the gun stuff that will cause you headaches or keep you up at night. It's the business stuff. So, yeah, definitely read the BATFE stuff (and know it backwards and forwards), but you also need to take care of the business stuff. The best way to prepare for that is to write a business plan (a real business plan). Here's where to start:

http://www.sba.gov/category/navigation-structure/starting-managing-business/starting-business/how-write-business-plan

Once you think it through and run the numbers you may decide the juice isn't worth the squeeze. You won't know this in advance if you don't do the work of writing a business plan. Better to know now.

Don't just go off of that, actually call the zoning office and explain your business intentions. Don't be sly with them and dance around your plan, as ATF will call them and verify your zoned properly. Again, do not go off of what your friend is doing. Zoning is the single biggest disqualifier to getting an FFL.

I owned a SMALL shop for 9 years.I had a separate building at my home --3 acres in the country--and ,for a while,also sold live bait and some fishing stuff.(State owned lake a few hundred yards form the shop) I had to jump through hoops and hire a lawyer to get approval from the zoning board.
 At the time we (wife and I) belonged to several gun clubs and had a fair customer base going in.We also worked (yes,it IS work) a helluva bunch of gunshows...HUNDREDS.
It is IMPOSSIBLE to compete with guys who have a HUGE inventory,bought at distributor prices and ,basically,selling at what it COSTS you to buy it or even less..Your best chance to make a few buxs is too TRADE and make a bit from each deal.But you'd better know what you're doing or you can lose money pretty quick.
 By the time you do all the paperwork---Fed,state and local taxes,sales tax,log book---AND pay for insurance,utilities and all...you'll be fortunate to make minimum wage.
 Would I do it again?? hhmmmmm   ..........................................yeah,probably.
 Good luck!!
 

This is all true.

Also many people will grumble at you for not selling as cheap as Bud's

others will think that $20 for a transfer is too much to pay for a five minute phone call

Search if you can for some of the gun shop threads where a few small dealers try to explain to the masses what is involved.

I liking have my shop, but there is not enough profit in guns to keep a shop open on new sales and transfers.

I also have a pawn side that basically carries the gun side,

Thanks for all the replays guys and I am working on a business plan right now. Luckily I have my business degree and hopefully that has prepared me a bit!