Changing FFL

[Capt. Speirs]

I am a "Kitchen Table" FFL, I want to change location (store front) and business name (LLC). What I am asking of you FFL's is; what is the best way to do this and minimize interruption of the business? I know you can amend your FFL, but not when you change your name. I hope I am getting across what I am looking for, thanks in advance.

[freakshow10mm]

You will need to file an application and start all over again. A dba FFL is a different entity from a corporation or LLC. The ATF will treat it as a separate "person" applying for an FFL, because that's what it is. You cannot transfer the current FFL to the new company. The inventory can transfer, but the license cannot.

File a Form 7 application for the new FFL and go through the whole process you did to get your current FFL.

Location would have been an easy "application for amended FFL" and a 30 day delay.

Because you are changing the type of entity it is, sole proprietorship to an LLC, it's a separate entity thus a new FFL application is needed. Sucks, but you have to start over from square one and you just wasted $200 for the current FFL.

[tenpercentfirearms]

Which translates to leave the name alone and just change the address.

In hindsight Ten Percent Firearms was a silly name. However, it stuck and now we are stuck. I could have changed it when I switched to a corporation, but by then, we were already well known.

We just bought a new building next door. I am going through the process of merging the two lots so I do not have to change my address. What a pain that would be.

[freakshow10mm]

Same thing. I was a sole proprietorship with my 06 FFL. Then got my 07 FFL and decided I wanted more protection, so I went LLC (corporations in MI cannot have a single owner corporation, but LLCs can) and got the 07 FFL as the LLC. Wife hates my business name, but I've been around 3 years now and it's how I'm known. Have thought of adding a trade name that's different than the LLC name but can't think of any thing good.

[Capt. Speirs]

You will need to file an application and start all over again. A dba FFL is a different entity from a corporation or LLC. The ATF will treat it as a separate "person" applying for an FFL, because that's what it is. You cannot transfer the current FFL to the new company. The inventory can transfer, but the license cannot.

File a Form 7 application for the new FFL and go through the whole process you did to get your current FFL.

Location would have been an easy "application for amended FFL" and a 30 day delay.

Because you are changing the type of entity it is, sole proprietorship to an LLC, it's a separate entity thus a new FFL application is needed. Sucks, but you have to start over from square one and you just wasted $200 for the current FFL.

Can I have 2 FFLs ( I am asking all this here, because I have not heard from my ATF Agent yet) at the same time?

[kemasa]

You can have multiple FFLs, one for each location.

[freakshow10mm]

Can I have 2 FFLs ( I am asking all this here, because I have not heard from my ATF Agent yet) at the same time?

Yes. You can have as many FFLs as you want to at one location.

What a lot of guys do in that situation is this. File an amended FFL application to move your current FFL to the future location. Once that's approved. File a new application under the corporation. Type up a note in there to the ATF and CLEO of your plans. Currently you are operating under the FFL#___ and are changing the business entity from a sole proprietorship to a corporation. Things will go much, much quicker. When the inventory for the sole proprietorship FFL is empty, deactivate the FFL and just use the corporate FFL.

I started off with an 06 FFL in January when I started my business. After getting that and learning about zoning I decided to apply for an 07 FFL and structure that company as a corporation (LLC). When the ATF did the compliance interview for the 06 FFL, I had an 07 FFL already filled out and ready to go. I had the ATF agent look it over. Said I don't need mugs and prints because it was a couple months ago and said to put a note in there to the LC that they are on file with FFL #___ (I actually got my FFL before the compliance visit due to geographical restrictions). I typed it up quick, handed him the 07 FFL with check on his way out and dropped off the CLEO copy after that. I had my 07 FFL in hand 3 weeks later.

One thing I've noticed with the ATF is if you make their paperwork easy, they will make your paperwork easy. Trust them like your enemy but have mutual respect and it will go a long way.

[kemasa]

Personally, I would keep the FFL at your current location, as well as getting one for your corporation. That way you can send/receive firearm from your house without an issue (there are conflicting statements from the BATF regarding where you can ship a firearm to). It should not cost you much to keep both.

[freakshow10mm]

Then you have dual paperwork for everything. Dual books, storage, taxes, etc. Simplicity is a better life than chaos.

[kemasa]

Well, if you want it simple, then give up your FFL. Depending on where you live, there is not much more in the way of paperwork and taxes to keep both since the money will go through the main business FFL. I am sure you have good storage at home and since he was doing business at home, I doubt that the smaller storage will work for a retail business doing more business.

[freakshow10mm]

Well, if you want it simple, then give up your FFL.

Excellent advice. Bravo!

[kemasa]

You said "Simplicity is a better life than chaos". Life is much simpler if you don't have a FFL.

[Capt. Speirs]