home based ffl's will no longer be issued

[Rosco the Iroc]

I'm going to Necrothread this to say it's bullshit.
I just got my FFL for home business in the mail today!
Still got to pick up the PA lic and the books and stuff for Trigger Time llc is about to hit the streets.

[unclejumbo]

I'm going to Necrothread this to say it's bullshit.
I just got my FFL for home business in the mail today!
Still got to pick up the PA lic and the books and stuff for Trigger Time llc is about to hit the streets.

Excellent. Welcome to the club.

[LTCcarrier]

I had a home based FFL. The problem is that when you have a home based FFL the ATF can perform an audit anytime they want and you home must be open to them. In addition, you have to notify your homeowners insurance that you are operating a firearms business otherwise they will have an out if you need to file a claim Additionally, whether you are an LLC, Corporation, etc., the corporate veil can be pierced under many conditions leaving you open to vast civil liability. Furthermore, zoning is always an issue and so is security. You need more than just an alarm and a safe. You need to be zoned for a business if you are going to sell to others. Many dealers only sell to stocking dealers and not those who order upon customer request. It was so onerous that under the Clinton Administration I gave it up. Would not be profitable unless you are a stocking business doing multiple sales. But ATF will still issue to home based businesses. But not something I would want to do again ever.

[Rosco the Iroc]

Yea I'm good with that.
ATF does not just show up and say surprise. It will be in your posted business hours. I expect one in about a year to see how it's going but as long as I'm going my part right this shouldn't be an issue.

Zoning was easy and a simple free permit I just can't put a sign out front. Not that I wanted to. I already got a line on 8-10 wholesalers that will deal with non store front FFL's.

Thanks Jimbo, I've been hawking your posts and might be picking your brain if needed.

[ExFlyinguy]

Congrats Rosco!

I can't say that I agree with anything LTC mentioned because much of it depends on variables. Best of luck!

[LTCcarrier]

Congrats Rosco!

I can't say that I agree with anything LTC mentioned because much of it depends on variables. Best of luck!

Yup some things are variable like my opinion. And some things are black letter law. Check your home owners policy. Check the ATF regulations. Your home owners policy is your legally binding agreement between you and your insurance policy. The statutes and regulations are the law binding you to what you can, cannot, should or should not do. Follow them and you should be ok. Don't follow them and if caught you know the drill.

[ExFlyinguy]

Yup some things are variable like my opinion. And some things are black letter law. Check your home owners policy. Check the ATF regulations. Your home owners policy is your legally binding agreement between you and your insurance policy. The statutes and regulations are the law binding you to what you can, cannot, should or should not do. Follow them and you should be ok. Don't follow them and if caught you know the drill.

I just thought you were being a little overly negative to the guy that just got his ffl. This isn't absolute, but I doubt any homeowner's policy is going to cover FFL related activities- that's where business Insurance comes in.

He's already complied with any zoning laws or the ATF wouldn't have issued the license to begin with. As far as security goes, there is no written standard that an FFL must meet. We all know the more the merrier.

There are enough distributors that will deal with home based dealers to get product.

As far as ATF inspections, I'm sure that varies as well. Word is that you may go 4-7 years before you ever get a compliance inspection. Now if you pop up on their radar for gun traces etc. then you can probably expect to hear from them more often. Their inspection is limited to the portion of your home where you do business, not your entire residence.

I'll acknowledge that it's a tough business to make a living at, but for many of us retirees it's a nice opportunity to be our own bosses. If these were your experiences during the Clinton reign of terror, then I can understand your lack of fond memories, but I'm actually enjoying it very much.

[LTCcarrier]

I just thought you were being a little overly negative to the guy that just got his ffl. This isn't absolute, but I doubt any homeowner's policy is going to cover FFL related activities- that's where business Insurance comes in.

He's already complied with any zoning laws or the ATF wouldn't have issued the license to begin with. As far as security goes, there is no written standard that an FFL must meet. We all know the more the merrier.

There are enough distributors that will deal with home based dealers to get product.

As far as ATF inspections, I'm sure that varies as well. Word is that you may go 4-7 years before you ever get a compliance inspection. Now if you pop up on their radar for gun traces etc. then you can probably expect to hear from them more often. Their inspection is limited to the portion of your home where you do business, not your entire residence.

I'll acknowledge that it's a tough business to make a living at, but for many of us retirees it's a nice opportunity to be our own bosses. If these were your experiences during the Clinton reign of terror, then I can understand your lack of fond memories, but I'm actually enjoying it very much.

You maybe right about being very negative. Just I see that now many distributors now will not sell to a home based FFL. They not only want a picture of your licensed premises but I have read some will go as far as to Google Earth your location. That to me is a shame. I guess it is so the large FFL stay profitable. But with the full price Gander Mountain stores going out of business and places like that you would think the small FFL would be helping the distributors.

[unclejumbo]

You maybe right about being very negative. Just I see that now many distributors now will not sell to a home based FFL. They not only want a picture of your licensed premises but I have read some will go as far as to Google Earth your location. That to me is a shame. I guess it is so the large FFL stay profitable. But with the full price Gander Mountain stores going out of business and places like that you would think the small FFL would be helping the distributors.

I have a few distributors. I almost never buy from them. I find better deals on GB with the big sellers that are buying in quantities of thousands. I will say there is almost no chance for a small FFL to compete on guns with the big guys.

[ExFlyinguy]

You maybe right about being very negative. Just I see that now many distributors now will not sell to a home based FFL. They not only want a picture of your licensed premises but I have read some will go as far as to Google Earth your location. That to me is a shame. I guess it is so the large FFL stay profitable. But with the full price Gander Mountain stores going out of business and places like that you would think the small FFL would be helping the distributors.

I have a few distributors. I almost never buy from them. I find better deals on GB with the big sellers that are buying in quantities of thousands. I will say there is almost no chance for a small FFL to compete on guns with the big guys.

You aren't wrong there LTC, some distributors have done that. Some have reverse that decision too. I got a chuckle the other day, after I got a voice mail from a sales rep for Rock River Arms....boy there's a call that I wished I wouldn't have missed

As UJ says, when you are competing against the bigger outfits that buy in bulk at better tier pricing, or they buy 5 guns and get one free and then sell below your wholesale price, it is tough to make any money on guns. I too have bought a M&P shield for $299 from a retailer, when my wholesale distributor price is $340. Now I have it in inventory. Not to mention competing with that whole NO sales tax thing. I do much better on the accessories than I do on the guns, and like you at some point I may choose to let my FFL expire and just sell the accessories. All in all though it's been a great learning experience that I have no regrets over.