What does it take to become a gun dealer???

[redneck2]

I'm talking paperwork, background checks, etc??? Do you have to have a store front, business hours, etc???

Just read the thread about dealers being reluctant to do transfers. Everybody thinks it's the worlds easiest money.

How hard would it be to set up a business to just do special orders or transfers???

 

[Kamicosmos]

Well, I know you need an FFL obviously. That is quite expensive and requires extensive background checks. I also know that before approval, you get a face to face interview/inspection from an ATF agent. I always thought that you needed a 'place of business' in order to store the guns and paperwork. I do know that this can be a home office though. (I could be wrong on all of this though. I'm not an FFL, nor have I read the rules on becoming one. This is just recollection from talking with various FFL holders).

As far as setting up a business to do whatever:

Well, running your own business has it's own pros and cons, risks and gains.

 

[LiquidTension]

I bought a rifle from a guy that had an FFL out of his house. He just transferred guns for a little extra money to anyone that happened to find him under the dealer section on GunsAmerica. So I guess you don't need a storefront - unless the rules have changed since I did this about 4 years ago.

Q: "What does it take to become a gun dealer?"
A: The patience and willingness to allow the ATF to have far more control over your business than they should.

Not trying to be a smartass, just letting you know that there are ATF agents that feel it is their job to screw you if you are a gun dealer (look at the guy in AZ that got his shop torn up because he forgot to renew his $25 pawn permit).

 

[Preacherman]

Most of the dealers I know are struggling to make ends meet. If they have a big shop, with lots of stock, they're usually doing well: but if they're a smaller, lower-volume dealer, they've got problems. Wal-Mart has taken most of the entry-level hunting rifle and shotgun market (at least in this area), and the huge selection of handguns out there means that the shop that has the stock gets the sales (except for knowledgeable gun buyers like ourselves at THR, who know to shop around online and get a better deal).

One of them said that his situation since opening his (small) gun store is like the old joke about the stock market: "How do you make a small fortune on Wall Street? Start with a large one!"

 

[Hkmp5sd]

ATF has cracked down on the so-called "kitchen table" FFLs thanks to Clinton. You can still get one, but expect to be hassled over it. Plus, ATF requires you to sell an undefined minimum number of firearms per year. It is similar to the undefined number of sales a C&R can do before ATF busts him for dealing in firearms without a 01-FFL.

The other things needed, assuming you do get one for your home, are state and local business licenses, the house zoned to permit operating a commercial business in a residental area and a tax number. You will need to set your "business hours" and ATF can come an inspect your home at any time during those hours without a warrant or prior notification. It would also be good to have liability insurance so you don't lose your house if you get sued.

Not exactly a cheap or easy way to make money on a part-time basis. The 01-FFL is $200 for 3 years, plus all of the other licenses needed. Add that to the time needed to maintain the required record keeping and you'd make more money passing out shopping carts at Walmart.