Looking into the possibility of opening a gun store a couple years down the road… what all is involved? FFL? Reporting? Class three? NFA? Gunsmithing? Anyone got info?
Well you will have to have an FFL . And there is definitely reporting to be done . Your books need to be spot on . As far as gunsmithing there are different types . Basic repair and manufacturing . The later requires a separate license from the man . You might want to look into becoming NRA certified as well so you can offer classes to draw customers in . I'd start the certifications now that way when your ready you are already NRA certed , created glock Armorer etc. Go the the ATF website and look at the different type sod FFL's Your going to need to from a LLC as well .
So far, I am in the process of starting a home business. Weapons and training is the key focus. We will offer NRA certified courses after I complete my apprenticeship, and get certified. We plan to offer other courses as well. We also plan to offer product through a distributor. Possibly keep some stock on hand, do some gun shows and product demos. Got the training and retail part all figured out, it's the FFL, gunsmithing (basic repair), class three that needs a bit of explaining. I browsed the ATF site and didn't get much... What type of reporting, bookwork is involved in managing a gun store? Is it worth setting up as a home business?
Do a realistic study of the local market. How many other sellers are you going to compete with? How long have they been there? If there have been a few in business locally for several years, and no new stores have opened up, there is probably a good reason for it. Usually the market share isn't big enough to support more stores. Your operating costs will dictate your profit. The formula you have to apply is I&E vs L&R. Or inventory & Expense vs Labor & Revenue. If your competition is doing business on property they own outright, they have an advantage. If you have to lease a space for a shop, your at the mercy of the landlord. If he decides to double your rent when it comes time to renew your lease, you pay the increase, move to another location, or fold up & go out of business. The hardest information to obtain is the most critical. How much do the local shop owners actually pay for their stock? And will the suppliers even sell to you? At the same price. If they won't you can't compete. All this & much more will have to go into your business plan. Or a banker won't consider you for a business loan. At any rate, good luck to you, seeing people succeed is always nice.
Within the surrounding area, there is an antique gun dealer, glockmiester, and a class three weapons dealer shooters vault. I have several years before this becomes even remotely possible to do. Shooters vault is my biggest competitor. They a class three dealer signed on with lipseys. They are also a full 5.11 dealer, 75,000 dollar minimum stock. The other two shops are more specialized... Not too worried about their competition. Then there is a bass pro, cabelas, and sportsmans wearhouse within 50 miles. I live, the same distance from both shooters world shooting ranges, Ben Avery, and Scottsdale gun club. One in each cardinal direction about 15 miles out. Ideal location really... Just entertaining the idea for now...
In the Phx metro area there are a TON of shops. To be successful you would need to find a niche and/or have something new to offer. It is a tough endeavor. (not impossible) And yeah, you screw up on the paperwork and you are done. That is unless you have your daughter as the new FFL holder. Wait that doesn't ever happen does it?
While I cannot discuss sales on the forum, I do intend to become a vendor here. Something new/different to offer is the point of the business, I wish I can get into more detail about it, but I can't. At least not in public forum. Yes there are plenty of small local shops in the metro area. I plan to base my business out of my home, north Phoenix. I plan to rely mainly on networking to create a customer base. I do not plan to hold stock, however, the ability to keep everything in house means I can retain more customers and more revenue. I would like to think of adding firearms to the product list as a service more so than a product. They can order through me, someone they know and trust, versus going through some other person... As far as the question... What are the book keeping requirements? How easy is an FFL to manage at home? Not planning on opening up a store front, unless things go really well... Starting off slow, I have zero capital and zero credit. This is my hopes and dreams, my vision, starting off young and hoping it goes well. Trying to dig a foundation not a grave... Very fine line on that one...
it would be wise to also have a range - hard to teach shooters much of anything more then the basics without a range.
What part of "out of my home" did you not read? Lol I have been given a great opportunity through Ben Avery. I can use their facilities. I can event rent an entire range. I am also, soon to be, a range safety officer there. While I would love to own my own range, that is a different animal all on its own.
Go to FFL123.com. I think it's $20 or $30, but it gives you all the information you need to get your FFL, including deciding what type, and tells you everything you need to know to pass the interview, discusses zoning, storage, relocation...everything you could possibly need to know or need to consider. As far as gunsmithing, I'm a fan of AGI, the American Gunsmithing Institute. They and a couple of other "schools" offer training and certification at home. It's not cheap, but I think it's worth it. I would then look into the various gun maker's armorer's courses. From what I've found so far, Glock is the only one that limits their armorer's course to law enforcement and GSSF members. I know Sig, for instance, you just have to sign up and travel to. You might also want to go to the SCORE website and find someone who can help you with the all the details of getting the business going. They can also help with writing the business plan, getting financing, etc., and it's free! They also have a business related courses/seminars that are free. They're a great resource.
Got a friend with a MBA helping me out, plus another friend in the same line of business as well. Got a business plan typed up already, just need the tax licenses and I'm set. Going sole proprietorship route for now, depending on how successful it is I'll transfer to an llc. Looking at a #2 FFL dealer, gunsmith... Already have the app. I may just give the ATF a call and ask them the questions...
Sent you a pm but here ya go FFL holders are required to keep a registry of firearms sales in an ATF-approved Bound Book, or a computerized equivalent using ATF-approved software. Licensed dealers must also maintain file copies of Form 4473 or eForm 4473 "Firearms Transaction Record" documents, for a period of not less than 20 years after the date of sale or disposition. When retiring or otherwise relinquishing a license, these records are sent to the BATFE's Out-of-Business Records Center. Licensed collectors are not required to send their records to the BATFE when relinquishing their license. The ATF is allowed to inspect, as well as request a copy of the Form 4473 from the dealer during the course of a criminal investigation. In addition, the sale of two or more handguns to a person in a five business day period must be reported to ATF on Form 3310.4.
FFL type 2 is a pawnbroker man . You need a type 1 01 Dealer in Firearms Other Than Destructive Devices (Includes Gunsmiths)
