Which of course is the whole point. To add enough hassle and expenses at both the state and federal level to limit dealers to only those who make it a full time business. Some people do not even want them to exist and just work to make all firearm transactions more difficult.I finally got fed up of having to jump through all of the hoops and gave up my FFL.
This is intimately connected to "closing the gun show loophole". Code for passing a law to stop all private party sales or transfers anywhere, having very little to do with gun shows (most gun shows are filled with FFLs that still do the same steps as a store.)
That combined with a limited number of FFLs means controlling the RKBA is much easier.
In such a situation they could even suspend all gun sales and/or transfers in the nation at any time if they chose to. Suspension of licenses, or new requirements added overnight requiring compliance to continue to operate could determine when and where every single gun changed hands in the nation.
They could even be more prone to find minor paperwork errors in FFLs that sold weapon types they wished to reduce.
The full power that can be realized through manipulation of FFLs cannot be realized until the removal of legal private party transfers (Gun Show Loophole) which will then require the use of FFLs for firearms to change hands for any reason.
Everything is gradual steps though.
There was hundreds of thousands of FFLs in the 80's and 90s.
284,000 in 1992 out of a US population of 254,994,517. Or .111% were FFLs.
As of 2007, there were 108,842 FFLs nationwide, out of 305,986,357 people. Or .035% of the population were FFLs.
So the per capita number of FFLs has been cut by nearly 2/3 since 1992.
Consider that before 1968 FFLs did not exist, nor a requirement for a such a license, it was after all supposed to be an uninfringed right.