All You Need to Know About FFL Dealership in South Dakota
Table of Contents:
Introduction to South Dakota Firearm Laws
South Dakota is a state with specific regulations for FFL dealers. Understanding the requirements for obtaining and maintaining a Federal Firearms License (FFL) is crucial for anyone interested in starting a firearm dealership in the state.
This involves being familiar with federal and state laws, background checks, and record-keeping practices. This post will provide comprehensive information about FFL dealerships in South Dakota, covering the application process, compliance, and operational considerations for prospective dealers.
How to Obtain a Federal Firearms License (FFL) in South Dakota
Step 1: Understand the Federal Requirements
- Choose the Type of FFL You Need
There are several types of FFLs, depending on the nature of your business. The most common is the Type 01 FFL for dealers in firearms.- Type 01 – Firearm Dealer/Gunsmith.
- Type 02 – Pawnbroker.
- 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”
- Meet Eligibility Requirements
You must meet the following criteria:- Be at least 21 years old.
- Be a U.S. citizen or legal resident.
- Not be prohibited from owning firearms (e.g., felony convictions, restraining orders).
- Have a business location for firearms.
- Certify compliance with state and local laws and notify local law enforcement.
- Complete ATF Form 7
Fill out the Application for Federal Firearms License (ATF Form 7). You can download this form from the ATF website. - Pay the Application Fee
The fee varies based on the type of FFL you are applying for, typically ranging from $200 to $300 for the initial application. - Submit Your Application
Send your completed application form and payment to the ATF. This can be done via mail or electronically. - ATF Background Check
The ATF will conduct a background check on you and any responsible persons associated with your business. - Interview with ATF Agent
An ATF agent will contact you to schedule an interview. During this meeting, they will review your application and discuss your business plans.
- Receive Your FFL
If approved, you will receive your FFL in the mail. This process can take several weeks to months.
Step 2: Understand South Carolina State-Specific Requirements
No, you do not need a state-specific license to sell a firearm in South Carolina. However, there are some important legal requirements and best practices to follow when selling a gun in South Carolina:
- Universal Background Checks
All firearm sellers, both licensed and unlicensed, must adhere to the state’s universal background check requirements. This means conducting background checks on all purchasers. - Conduct Background Checks on Purchasers
As a licensed dealer, you are required to perform background checks on all individuals looking to purchase firearms. - Provide Locking Devices
You must ensure that all firearm purchasers possess a locking device for their firearms. This is a safety requirement aimed at preventing unauthorized access. - Comply with Design Safety Standards
Dealers are prohibited from selling unsafe handguns. Ensure that the firearms you offer meet the state’s design safety standards.
Firearms in South Dakota: Permitted vs. Prohibited
| Firearm Type | Permitted | Prohibited |
| Rifles & Shotguns |  |  |
| Handguns | | |
| Purchase (Handguns) | (with application) | (if application not completed) |
| Possession (General) | | (for felons or those with domestic violence misdemeanors) |
| Possession (Minors) | (with consent & conditions) | (under 18 without conditions) |
| Carrying (Handguns in dwelling/business/land) | | |
| Carrying (Concealed on person or in vehicle without permit) | | |
| Permit Required to Carry Concealed | | |
| Permit Issuance (Conditions) | (if conditions met) | (if conditions not met) |
| Controlled Weapons (Machine guns, silencers, etc.) | (unless exempt) | |
| Antique Firearms | | |
| Sport Shooting Ranges | (if compliant) | |
Source Link
Additional Considerations:
- Age Restrictions: Individuals under 18 cannot possess a pistol without parental consent and specific conditions.
- Prohibited Persons: Those convicted of felonies, domestic violence, or with certain mental health conditions are restricted from firearm possession.
- Prohibited Places: Firearms are generally prohibited in schools, courthouses, and some government buildings.
Selling Firearms Online Legally in South Dakota
Online Order Placement
- The customer from South Dakota visits your FFL ecommerce store and selects the firearm they wish to purchase.
- They provide their personal information, such as name, address, and contact details, as well as their FFL dealer’s information (the dealer they want the firearm shipped to).
- The customer completes the online payment process securely.
Order Processing
- Once the order is placed and payment is confirmed, you will receive the customer’s order details.
- Verify that the customer’s FFL transfer dealer information is valid and that the dealer is willing to accept the firearm shipment.
- If everything checks out, proceed with preparing the firearm for shipment.
Firearm Shipment
- Package the firearm securely and in compliance with all applicable laws and regulations.
- Ship the firearm to the customer’s designated FFL dealer; firearms cannot be shipped directly to the customer.
- Use a shipping service that provides tracking and requires a signature upon delivery.
- Include a copy of the customer’s order details and any necessary paperwork with the shipment.
Dealer Notification
- Notify the customer’s FFL dealer that the firearm shipment is on its way.
- Provide the dealer with the tracking number and any other relevant information they may need.
Customer Pickup
- The customer must visit their designated FFL dealer’s location to complete the transfer process.
- The dealer will conduct a background check on the customer and handle any necessary paperwork.
- If the transfer is approved, the customer can take possession of the firearm.
Always ensure compliance with all current laws and regulations concerning online firearm sales and shipments. Establish clear policies and procedures to ensure a smooth and lawful process for both your business and your customers.
Background Check Requirements for Firearm Sales in South Dakota
Federal Requirements
Background Check Requirement: Federal law mandates that federally licensed firearms dealers must initiate a background check on purchasers before selling a firearm.
NICS Database: The checks can be performed using the federal National Instant Criminal Background Check System (NICS) database.
South Dakota’s Status
Not a Point of Contact State: South Dakota is not a point of contact state for NICS, meaning it does not conduct its own background checks using state records.
Dealer Responsibilities: As an FFL dealer, you must contact the FBI directly to initiate the background check required by federal law for any firearm sale to a customer in South Dakota.
Private Sales
No Requirement for Private Sellers: South Dakota does not require private sellers (those who are not licensed dealers) to initiate a background check when transferring a firearm.
Additional Note
Handgun Sales: South Dakota law prohibits dealers from selling handguns unless the purchaser is personally known to the dealer or presents clear evidence of their identity.
Conclusion
By following these guidelines, you can ensure compliance with both federal and South Dakota state laws when processing firearm sales.
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.
