All You Need to Know About FFL Dealership in Illinois

Table of Contents:

Introduction to Illinois Firearm Laws

An FFL is a license issued by the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) that allows individuals or businesses to engage in the firearms trade. This includes selling firearms, conducting transfers, and manufacturing firearms. In Illinois, an additional certification from the Illinois State Police (ISP) is required for all FFL holders.

How to Obtain a Federal Firearms License (FFL) in Illinois

Federal-Specific Requirements

Select the Type of FFL Needed

The type of FFL you need depends on your business activities. Common types include:

  • Type 01: Dealer in firearms other than destructive devices
  • Type 02: Pawnbroker in firearms other than destructive devices
  • Type 03: Collector of Curios and Relics
  • Type 06: Manufacturer of Ammunition for Firearms
  • Type 07: Manufacturer of firearms other than destructive devices
  • Type 08: Importer of firearms
  • Type 09: Dealer in Destructive Devices
  • Type 10: Manufacturer of Destructive Devices, Ammunition for Destructive Devices, or Armor-Piercing Ammunition
  • Type 11: Importer of Destructive Devices, Ammunition for Destructive Devices, or Armor-Piercing Ammunition

Review the ATF guidelines to find the appropriate license for your business.

Complete the ATF Application

Fill out ATF Form 7/7CR (Application for Federal Firearms License). This form requires basic information about your business, including the type of license you are applying for and the business location.

Background Check

All applicants must undergo a background check. This includes fingerprinting and submitting a photograph as part of the application process.

Submit Application Fee

Pay the application fee, which varies based on the type of FFL. For most licenses, the fee is $200 for the first three years.

Await Approval

After submitting your application, the ATF will review it. This process can take two months. If approved, you will receive your FFL in the mail.

State-Specific Requirements

In addition to federal requirements, Illinois has specific regulations that FFL holders must comply with:

Firearm Dealer License Certification Act

All FFL dealers in Illinois must obtain certification from the Illinois State Police. This certification is mandatory for anyone engaged in the business of transferring firearms.

Complete Firearm Dealer License Certification Training

All owners, agents, and employees involved in transferring firearms must complete the Firearm Dealer License Certification Training available on the ISP website. Document the completion date for your application.

Prepare Required Documents

Gather the following documents for your application:

  • Federal/Employer Tax ID and State Tax ID.
  • Digital copy of your FFL.
  • Signed and notarized affidavits for all owners, agents, and employees involved in firearm transactions, including proof of background checks for out-of-state individuals.
  • FOID card information for all relevant individuals.

Determine Your Business Type

Identify whether your operation is retail or non-retail. A retail location is open to the public and sells firearms directly, while a non-retail location is not open to the public and typically involves private transactions.

Register for a Business User Account

Set up a Business User Account on the ISP website to access the application.

Submit Your Application

Fill out the electronic application, ensuring all required documents are uploaded. Pay the application fee: $300 for non-retail locations and $1,200 for retail locations. Payment is made via ACH or e-check, so have your bank routing and account numbers ready.

After submitting your application, the Illinois State Police will review it and may conduct an inspection of your business premises. Ensure compliance with all local, state, and federal regulations throughout this process.

By following these steps and understanding both federal and state-specific requirements, you can successfully navigate the process of acquiring an FFL in Illinois. For more detailed information, consult the ATF and Illinois State Police websites or contact their offices directly.

Firearms in Illinois: Permitted vs. Restricted

CategoryPermittedProhibited
Permit to PurchaseFOID Required
Registration of FirearmsNo
Licensing of OwnersFOID Required
Permit to CarryFOID Required for Handguns
PossessionWith FOIDWithout FOID
Barrel LengthRifle ≥ 16 inches, Shotgun ≥ 18 inchesRifle < 16 inches, Shotgun < 18 inches, or modified weapons < 26 inches overall length
Non-resident PossessionUnloaded and cased
Ammo TypesStandardMetal piercing, dragon’s breath, bolo, flechette, explosive bullets
SilencersPossession prohibited
Handgun MaterialsStandard metalsDie casting of zinc alloy or metals melting < 800°F
Dealer SalesHandguns with barrels, slides, frames, or receivers of non-homogeneous metals

Source Link

Selling Firearm Online Legally in Illinois

  1. Set Up Your Online Sales Platform

    • Choose a Compliant Platform: Ensure your FFL ecommerce platform supports firearm sales and complies with both federal and state laws.
    • Age Verification: Implement age verification tools to prevent underage purchases.
  2. Customer Order Process
    • Select Firearm: Customers browse your online inventory and select the firearm they wish to purchase.
    • Choose Local FFL Dealer: Customers must select a local FFL dealer to receive the firearm. You can provide a list of nearby FFLs or allow them to search for one.
    • Place Order: Customers complete their order on your website, providing necessary information for the transfer.
  3. Shipping Guidelines
    • Ship to Local FFL Only: You cannot ship firearms directly to the customer. Instead, ship to the selected local FFL dealer.
    • Use Firearm Friendly Carriers: Utilize private carriers such as UPS or FedEx as shipping options.
    • Packaging Requirements: Firearms must be securely packaged, separate from ammunition, and shipped in a non-descript box to prevent theft.
  4. FFL Transfer Process
    • Notify the Local FFL: Once the firearm is shipped, notify the receiving FFL dealer of the shipment details.
    • Background Check at FFL: The customer must complete a background check at the local FFL dealer before taking possession of the firearm.
    • Complete the Transfer: Upon successful background check and payment of any transfer fees, the local FFL will release the firearm to the customer.
  5. Maintain Records
    • Keep detailed records of all firearm sales, for at least 10 years
      using forms from the Illinois State Police including details like date of the background check, date of the transfer, description of the firearm, and serial number.
    • If the transfer happened in Illinois, the record must also have your FOID (Firearm Owner’s Identification) card number and any approval documentation from the background check. If it happened outside Illinois, the record must have your name and address.

Understanding Background Checks for Firearm Sales in Illinois

  1. Possession of a Valid FOID Card: Illinois residents must have a current Firearm Owner’s Identification (FOID) card to legally own firearms and ammunition within the state.
  2. Transfer to an Illinois FFL Dealer If purchasing a firearm online or out-of-state, the firearm must be shipped to a Federal Firearms Licensed (FFL) dealer located in Illinois.
  1. Background Check: The FFL dealer will perform a background check on the buyer to ensure they are eligible to own a firearm.
  2. Mandatory Waiting Period: Illinois law enforces a waiting period before the transfer can be completed:
    • 72 hours for handguns
    • 24 hours for rifles and shotguns
    • This waiting period serves as a cooling-off period to prevent impulsive actions.
  3. Verification with Illinois State Police: The FFL dealer must verify the transfer with the Illinois State Police, including details about the buyer and the firearm.
  4. Completion of Transfer: Once all legal requirements are satisfied, the FFL dealer can finalize the transfer and hand over the firearm to the buyer.

This process ensures that firearm transactions in Illinois are carried out legally and responsibly. It involves verifying the buyer’s eligibility, conducting background checks, and adhering to mandatory waiting periods.

Conclusion

The requirements for becoming an FFL dealer in Illinois involves understanding both federal and state regulations. It is essential to determine the appropriate type of FFL, complete the necessary applications, and comply with local laws.

By following the outlined steps and maintaining accurate records, individuals can successfully establish their firearms business. For further assistance, consulting the ATF and Illinois State Police is recommended to ensure compliance and stay updated on any changes in regulations.

Automate Your Firearm Business with Flxpoint!

Disclaimer: The information presented here has been compiled from multiple public sources. It serves as a general overview of firearm regulations and guidelines concerning the specific state. This content is intended for informational purposes only and should not be interpreted as legal advice or relied upon as a substitute for professional legal counsel.