All You Need to Know About FFL Dealership in New York

Last updated on December 16th, 2024 at 01:46 pm

Table of Contents:

• Introduction to New York Firearm Laws

• How to Obtain a Federal Firearms License (FFL) in New York

• Firearms in New York: Permitted Vs. Restricted

• Selling Firearms Online Legally in New York

• Understanding Background Checks for Firearm Sales in New York

• Conclusion

Introduction to New York Firearm Laws

If you want to become a licensed firearms dealer, you’ll need to go through two sets of requirements: federal and state. Below is a step-by-step guide, first explaining the federal process, then covering New York’s state-specific requirements.

How to Obtain a Federal Firearms License (FFL) in New York

Step 1: Federal Requirements

The federal government requires all firearms dealers to be licensed through the Bureau of Alcohol, Tobacco, Firearms, and Explosives (ATF). This process ensures you’re legally allowed to sell firearms across state lines and meet federal regulations.

Step 1.1: Choose the Type of FFL You Need

The first step is figuring out what type of Federal Firearms License (FFL) you need. Different types are based on what kind of firearm business you plan to run. For example:

• Type 01: Basic dealer in firearms other than destructive devices (most common for general dealers).
• Type 03 – Collector.
• Type 06 – Manufacture of Ammunition.
• Type 07 – Manufacturer of Firearms.
• Type 08 – Importer of Firearms.
• Type 09 – Dealer of “Destructive Devices”
• Type 10 – Manufacturer of “Destructive Devices”

Make sure to choose the correct type before moving forward.

Step 1.2: Meet Basic Eligibility Criteria

Before applying, ensure that you meet the basic eligibility requirements:

• Be at least 21 years old.
• Not be prohibited from handling firearms (e.g., no felonies).
• Have a business location (can be a home-based business if allowed by local zoning laws).
• Have not withheld information or made false statements.
• Certify compliance with state and local laws and notify local law enforcement.
• Have secure gun storage or safety devices available for non-licensees.

Step 1.3: Complete ATF Form 7

To apply for an FFL, you’ll need to fill out ATF Form 7. You can download this form from the ATF website or request a physical copy.

Step 1.4: Submit Your Application and Fee

• Submit your completed application to the ATF along with the appropriate fee. The fees vary depending on the type of license you are applying for (e.g., $200 for a Type 01 FFL).
• The ATF will conduct a background check and review your application.

Step 1.5: Interview and Inspection

Once your application is received, an ATF field agent will contact you to schedule an in-person interview and inspection of your business premises. They will ensure you understand the legal requirements of being an FFL holder and that your location meets all federal regulations.

Step 1.6: Receive Your License

If everything is in order and you pass the inspection, you’ll receive your FFL license, typically within 60 days of submitting your application. Once licensed, you’ll need to comply with federal regulations, including maintaining records of all firearm transactions and conducting background checks on purchasers.

Step 2: State-Specific Requirements for New York

In addition to the federal requirements, New York has its own laws for firearms dealers. These requirements are more stringent, especially for those dealing in handguns, assault weapons, and large-capacity magazines.

Step 2.1: Obtain a New York State License

If you plan to sell pistols, revolvers, assault weapons, or large-capacity ammunition feeding devices in New York, you must apply for a state license.

• Where to Apply: Submit your application to the city or county where your business is located.
• Background Check: You’ll undergo the same background check as individuals applying to carry or possess handguns.

If you are only selling long guns (rifles and shotguns), a state license is not required.

Step 2.2: Display Your License

Once you receive your state license, it must clearly state the location of your business and must be prominently displayed on the premises. If you attend gun shows, you may temporarily conduct business there as long as you follow all applicable laws.

Step 2.3: Premises Security

Starting from December 2022, New York requires strict security measures for licensed firearms dealers:

• Firearms Storage: All firearms must be stored in a locked, fireproof safe or vault outside business hours.
• Ammunition Storage: Ammunition must be stored separately from firearms and kept out of customer reach.
• Security System: Your premises must have an alarm system installed by a licensed operator, which should provide complete protection and monitoring.
• Video Surveillance: Install recording devices at points of sale, entrances, and exits. Recordings must be kept for at least two years.

Step 2.4: Employee Training

All dealers and employees must be at least 21 years old and must complete a training course developed by the Superintendent of State Police. This course includes:

• Federal and state laws on firearm transfers.
• Identifying and preventing illegal and straw purchases.
• Educating customers on firearm safety and storage.

Step 2.5: Record keeping

You are required to maintain detailed records of all firearms sales, purchases, and inventories. These records must be kept either physically or electronically and submitted to the State Police every April and October.

• Acquisition and Disposition Records: You must record the make, model, caliber, and serial number of all firearms within one business day of their acquisition or sale.
• Monthly Inventory Check: You need to perform a monthly inventory check of all firearms.
• Retention: All ATF Form 4473 transaction records must be stored securely on-site to prevent loss or theft.

Step 2.6: Inspections

Licensed dealers in New York must be inspected by the State Police at least once every three years during business hours. The police will assess compliance with the laws, and an annual report will be issued to state officials.

Step 2.7: Age Restrictions and Minor Prohibition

Dealers must ensure that no one under 18 years old is allowed in areas where firearms are stocked or sold unless they are with a parent or guardian

Firearms in  New York: Permitted vs. Prohibited

Source Link

Additional Notes:

• Handgun licenses have different types (e.g., premises, carry)

• New York has additional restrictions

• “Permitted” may still require registration or other conditions

• This table simplifies complex laws; consult official sources for complete details

Selling Firearms Online Legally in New York

When a customer from New York orders a firearm from your FFL ecommerce store, the procedure involves several key steps to ensure compliance with federal and state regulations:

1. Order Confirmation: Confirm the order details and verify the customer’s information. Ensure the firearm is legal to purchase and ship to New York.
2. Customer’s Federal Firearms License (FFL): The firearm must be shipped to a licensed FFL dealer in New York. As part of your firearm dropshipping process, have the customer provide the contact information of the FFL dealer where they want to pick up the firearm. You will need to coordinate with this dealer to send the firearm.
3. Send the Firearm to the FFL Dealer: Ship the firearm to the FFL dealer in New York. Ensure you use a shipping method that complies with both federal and state regulations. Include a copy of your FFL and any other required documentation in the shipment.
4. Notify the New York FFL Dealer: Inform the receiving FFL dealer about the incoming shipment. They may need a copy of your FFL or other paperwork.
5. ATF and State Compliance: Follow all ATF regulations for shipping firearms, including record-keeping and serialization requirements. Verify that you comply with New York’s specific firearm laws, as they may have additional restrictions or requirements.
6. Transfer and Background Check: Once the firearm arrives at the New York FFL dealer, the customer will need to complete a background check and paperwork in accordance with New York State law. The FFL dealer will handle this process.
7. Finalizing the Transaction: Once the background check is cleared and all paperwork is completed, the FFL dealer will transfer the firearm to the customer.

Background Check Requirements for Firearm Sales in New York

Here are the key points regarding universal background checks and related requirements:

National Instant Criminal Background Check System (NICS)

• Requirement: A NICS a check is mandatory for any transfer, sale, exchange, or disposal of a firearm conducted by a licensed firearms dealer in New York.
• Exemptions: This requirement does not apply to transfers between immediate family members.

Record Keeping

• Dealer Responsibilities: The licensed dealer must maintain a record of the NICS check, which is available for inspection by peace or police officers.
• Public Record Status: The record of the NICS check is not considered a public record.

Fees and Violations

• Transfer Fees: Dealers may charge a fee of no more than $10 for conducting a background check during a transfer.
• Penalties: Violating these provisions is punishable as a misdemeanor.

Handgun Licensing

• License Specifications: A handgun license must specify each handgun owned by the license holder.
• Amendments: If a license holder acquires additional handguns, they must apply to amend their license to include those firearms.
• Transfer Procedures: License holders must apply to cancel the listing of any handguns they sell or transfer.

Notification Requirements

• Transfer Notification: Anyone intending to transfer a lawfully-possessed handgun, short-barreled rifle, shotgun, or assault weapon must notify the State Police or the appropriate licensing officer in New York City or Nassau or Suffolk Counties in writing.

General Prohibition

• Licensing Requirement: No person may dispose of any firearm unless they are licensed as a gunsmith or dealer in firearms, except as otherwise authorized by law.

Conclusion

Make sure to follow these procedures when handling firearm sales to customers in New York, ensuring compliance with both federal and state regulations. For additional details regarding licensing and universal background checks, consult the corresponding sections.

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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.