Do I need an FFL to sell firearms Accessroies?

[PMG2010]

A friend and I are considering going into a small side business of making and selling certain firearms accessories. They would be manufactured locally, and sold online.

Questions:
(1) Would we need a FFL to sell accessories? (not actual firearms or ammo)
(2) Are there any export restrictions on accessories?

Thanks.

 

[texasislandboy]

nope not at all

 

[txinvestigator]

You might want to do some research on export restrictions.

 

[PMG2010]

What parts of a firearm can you sell without an FFL? Speaking in terms of an AR platform, can you sell everything except the base lower & base upper receivers without an FFL?

ie: Barrels, stocks, sights, grips, trigger groups, carriage bolt groups, etc.

 

[dalto]

The only thing you need an FFL for the is the serialized lower on a normal AR.

 

[SiVisPacem]

If you're considering manufacturing firearm parts and accessories, you need to familiarize yourself with ITAR, the International Trade in Arms Restrictions. Basically, the manufacturer of any firearms or their component parts has to register with the U.S. State Department and pay a $2250 annual registration fee. That's in addition to any city, county, or State business license costs and taxes.

One more thing, ITAR applies even if you never export a single item. If you manufacture firearm parts or accessories for sale, you have to register and pay the fee.

 

[Wolfwood]

op- sounds like a fun project.

good luck.

 

[TheDan]

One more thing, ITAR applies even if you never export a single item. If you manufacture firearm parts or accessories for sale, you have to register and pay the fee.

dubya-tee-eff... So what's the consequence of not registering?

 

[SiVisPacem]

dubya-tee-eff... So what's the consequence of not registering?

Federal tax evasion criminal charges, felony conviction, fines, prison time, loss of firearms and voting rights.

Is it possible to get away without registering? Sure, if you stay small (off the radar) and aren't in business for very long, you can probably get away with it. But, if you do get caught, it'll be VERY painful. And, if you wind up being a big player in the firearms accessories business, you can bet you'll get looked into, especially if you ever want a government contract or decide to export your product.

Oh, and having been involved in the gun business for several years, I wouldn't put it past a competitor to drop a dime on you if they even get a whiff of you not being ITAR registered. Let's just say that the gun business can get very competitive and some of the players will stoop to low levels to get an advantage.

 

[Texas1911]

You really, really should familiarize yourself with federal and state laws before you conduct any business relating to or in the firearms industry.

 

[SiVisPacem]

One more thing. You may not NEED an FFL to manufacture and sell firearms accessories, but it will most likely be very helpful. Afterall, you're going to need to have firearms on hand in order to function test your accessories or to do product demonstrations of them. In that case, you'll probably find it easier to just go ahead and get your FFL, in order to get those firearms a bit cheaper, not to mention delivered right to your door. Why pay retail for testing guns when you can get them for wholesale?

You don't even need to sell a single firearm to justify the FFL to BATFE, as you are in the firearms business.

Also, a lot of folks who inquire about your various products, regardless of what they are, are going to ask about how well they handle abuse, recoil, full-auto, etc. Buying post-'86 dealer samples to test your stuff is a lot cheaper than buying fully transferrables and telling your customers that you don't know how well your stuff handles it oftentimes leads them to competitors.

 

[TheDan]

And people wonder why manufacturing jobs go overseas... Any backyard machine shop could churn out stuff like scope mounts and other small accessories, but who the hell wants to pay $2250/yr for the privilege to do so. Here's to hoping HB 145 passes.

 

[Wolfwood]

Federal tax evasion criminal charges, felony conviction, fines, prison time, loss of firearms and voting rights.

Is it possible to get away without registering? Sure, if you stay small (off the radar) and aren't in business for very long, you can probably get away with it. But, if you do get caught, it'll be VERY painful. And, if you wind up being a big player in the firearms accessories business, you can bet you'll get looked into, especially if you ever want a government contract or decide to export your product.

Oh, and having been involved in the gun business for several years, I wouldn't put it past a competitor to drop a dime on you if they even get a whiff of you not being ITAR registered. Let's just say that the gun business can get very competitive and some of the players will stoop to low levels to get an advantage.

sounds like a racket to me.

 

[SiVisPacem]

ITAR's main purpose is to ensure that technology that is vital to America's defense and military superiority doesn't leave the country without approval. In that regard, it's a good thing. We wouldn't really want our enemies to be able to acquire the latest target processing software from the F-35, or the latest GPS technology used in the Blue Force Tracker. Of course, it doesn't take a genius to understand that that info will get out eventually, especially so in the modern information era. Hell, Chinese computer programmers are just as smart as their American counterparts, so they can develop the technology on their own.

Unfortunately for the average American shooter and firearms-related manufacturer, everything firearms related is considered military technology. Heck, even if you were planning to build nothing but drop-in, wood replacement stocks for Ruger 10/22's, they are firearms parts, so they are considered under the purview of ITAR. Granted, we all know that no military which the U.S. would ever consider a real threat is going to be buying wood stocks for 10/22's, but it is what it is. And, since there is no chance of ITAR being rewritten, we just have to suck it up and deal with it. Or, if you feel that it is a violation of your natural rights, you could take the MLK Jr. route and decide to resist by not complying with what you believe to be an unjust law. Just don't expect your "Letters from Birmingham Jail" to be as popular as his when you get caught.