Armory Sponsor
Posted: 11/20/2010 8:14:17 AM EDT
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Ive been reading over some threads on the process and wanted to know a few more things. I have another buisness that i am starting up thats service based but unrelated to firearms and thought about getting a FFL to make a little on the side. Im not real happy with what the local dealers carry or how they act so i thought i would offer an appointment only option at first. Then hopefully word of mouth and some internet sales would happen. So onto the questions... - Is there any way for me to get some ideas on what things will cost so i can see if its worth the trouble? Before i moved i was friends with a gun shop owner that told me most of the money was made on accessories and not guns. While he had good prices ive seen local shops have guns priced $100 + higher than other advertized prices ive seen on the internet on a $500 firearm. Thats at or over a 20% markup over what the online people had. I know many of the places have tiers of pricing but could any of you PM or e-mail me some examples on firearms? - Do you have a reduced price for a cash transaction vs a credit card? - How many sales monthly does the ATF figure as nessisary to keep your FFL? - I was looking over the application and see the 01 FFL is what i would want but thought about selling suppressors once i evaluated the local need. With the 01 and 07 i should be able to sell/make suppressors and SBR's as well right? Is there anything extra to sell ammunition? - I keep reading that people say the $200 01 fee isnt the only expence to get started other than product so what else is there? I know with my current buisness i spent about 1K to incorperate my buisness and pay lawyer fees. Thanks for any feedback. |
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If you are wishing to manufacture SBRs and suppressors, you will need only an 07FFL which is a manufacturers license. You will not need an 01 also, as the 07 will cover everything the 01 will as well as the manufacturing side of things. In addition to the fee for the FFL, if you are making Title II weapons, you will also need a SOT which is $500.00 a year, and also pay the ITAR registration which is $2250 a year. Selling ammo is covered by both 01 and 07 FFLs. There is no set number of transfers necessary. BATFE just requires that the FFL is used for a legitimate business, and not for the purpose of expanding your personal inventory. Some distributors and manufacturers offer different pricing for volume of sales. Some companies will not even sell to you unless you sign a contract and either purchase a large inventory up front or during a one year period. Also some distributors will not accept you unless you have an actual brick and mortar store. As far as other expenses, you will need to pay for local and state licensing, LLC or incorporation fees, insurance, attorney fees and other normal business fees. |
Armory Sponsor