Before you apply
Do I need an FFL to sell a gun?
Not to sell occasionally from your personal collection. You need a license when you are engaged in the business of dealing firearms, meaning you buy and sell to predominantly earn a profit. The line depends on the facts: how often you sell, whether you buy guns specifically to resell them, whether you advertise, and so on. ATF has published guidance on what it considers engaging in the business, and it has been revised in recent years, so read the current version if you are close to the line.
Can I get an FFL just to buy guns for myself at dealer cost?
Not legitimately. A dealer license is for people who intend to run a firearms business, and the qualification interview includes questions about how that business will work. Licensees can keep a personal collection, but firearms acquired as business inventory are business inventory. If you mainly want older firearms shipped to your door, look at the Type 03 collector license.
How much does an FFL cost?
A Type 01 dealer license is $200 for the first three years and $90 for each three-year renewal. A Type 07 manufacturer license is $150 either way. A collector license is $30. The destructive device licenses are $3,000. See the full fee table.
How long does it take?
ATF is required to approve or deny a complete application within 60 days of receiving it. Most applicants who file a clean application have their license within about two months. Setting up zoning and the business beforehand can add weeks on the front end.
Can I have an FFL at home?
Yes, if local zoning allows it. Many home-based dealers operate by appointment from a home office. Check your city or county’s home occupation rules before applying. More in the requirements guide.
Do I need a storefront or specific business hours?
No storefront is required. You do list business hours on the application, and ATF can inspect during those hours, so pick hours you will actually be available. There is no federal minimum number of hours.
Will an old misdemeanor disqualify me?
Usually not, unless it was a domestic violence misdemeanor or it was punishable by more than two years under state law. Felony convictions, pending felony indictments and certain other categories are disqualifying. Answer the form’s questions accurately. A false answer is its own reason for denial.
Can I apply as an LLC?
Yes. The license is issued to the entity, and every responsible person in the LLC goes through the background check. Form the LLC before you apply, because changing the licensee’s name or structure later can require a new application.
The application
What is a responsible person?
Anyone with the power to direct the management and policies of the business as they relate to firearms. For a sole proprietor, that is you. For companies, it usually includes officers, managing members and partners. Each one submits fingerprints, a photo and background information.
Where do I get fingerprinted?
A local police or sheriff’s department or a private fingerprinting service. You need FBI Form FD-258 cards. Prints get rejected more often than people expect, so check that every print is clear and inside its box before you leave.
Who is the CLEO, and do they approve my license?
The chief law enforcement officer for your premises is usually the police chief or county sheriff. You send them a copy of your application as a notice. They do not approve or deny the federal license.
What happens in the ATF interview?
An Industry Operations Investigator meets with you, usually at your premises, to confirm your application, review the premises and storage, verify zoning, and walk you through the federal recordkeeping and sales rules. Plan on a couple of hours. The application guide describes it in more detail.
What if my application is denied?
You will receive a written notice with the reasons, and you have 15 days to request a hearing. Talk to an attorney right away. Many problems, zoning especially, are better solved by withdrawing, fixing the issue and reapplying.
Running the business
Can I sell at gun shows?
Yes, in the state where your licensed premises are located. At out-of-state shows you can display firearms and take orders, but transfers must go through a licensee in that state.
Can I sell online?
Yes, but the buyer still completes a Form 4473 and a background check in person at a licensed dealer. Online sales end at a dealer’s counter, either yours or one in the buyer’s state.
Can I sell a handgun to someone from another state?
Not directly. Handguns can only be transferred to residents of the dealer’s state, so you would ship it to a dealer in the buyer’s home state. Long guns can be sold in person to residents of other states if the sale is legal in both states.
Do I need an SOT to sell suppressors?
Yes. A Class 3 Special Occupational Tax of $500 a year lets a Type 01 dealer deal in NFA items, including suppressors, short-barreled rifles and transferable machine guns. See the Class 3 SOT guide.
How often does ATF inspect?
ATF can inspect without a warrant once in any 12-month period. In practice, frequency depends on staffing, and many dealers go several years between routine compliance inspections. The first inspection often comes within the first year or two of licensing.
How long do I keep records?
Keep Forms 4473 and your acquisition and disposition records for as long as you hold the license. When you go out of business, the required records go to ATF.
What do I report to ATF?
The routine reports are multiple handgun sales (two or more handguns to the same person within five business days), multiple sales of certain rifles in four southwest border states, and theft or loss of firearms within 48 hours of discovery.
Changes and closing
What if I move the business?
File an application for an amended license at least 30 days before the move. The new address has to meet the same zoning requirements as the old one.
How do I renew?
ATF mails a renewal application before your license expires. If you file it before the expiration date, you can keep operating while it is processed. If your license expires first, you have to stop doing business and apply as a new applicant.
What happens when I close?
Dispose of your inventory lawfully, then send your required records to ATF’s Out-of-Business Records Center within 30 days of discontinuing business. Any firearms you keep personally have to be properly recorded as transferred out of business inventory to yourself.