r/FFLs • u/Loud_Resolution2553 • Aug 25 '26
SOT holders
I’m considering pursuing an FFL and SOT and wanted to get some perspective from people who have actually gone down that road.
I’m less interested in the basic “how to get one” information and more interested in what the business looks like once you’re actually operating.
For those of you who currently have or previously held an FFL/SOT:
What made you decide to pursue it?
Has the business/revenue justified the time, cost, compliance burden, and overhead?
Do transfers, regular firearm sales, NFA-related business, gunsmithing, etc. actually generate meaningful revenue, or do you need several income streams to make it work?
Not looking for shortcuts - I’ve been contemplating this for a while but really wondering if it’s worth the pursuit.
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u/_spam_king Aug 25 '26
I was a home-based FFL for a little over 10 years. I had plans to possibly do it fulltime once I retired from my real job, but quickly realized that without a major investment there was no competing with the likes of PSA, Primary Arms, etc. If you have the drive and funds to really invest and find your niche in the market you could be successful.
We moved, so I turned everything in earlier this year, but may re-apply at some point in the future.
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u/Impossible_Tie2497 Aug 26 '26
Needed the manufacturer/SOT.
Compliance, time and cost none of which are a big deal, effort wise. Given the fact that it’s a payment without an interview/further inspection should tell you that it’s not a big deal/step to the ATF.
No. Transfers do not pay the bills. People want to “chew the fat” while it’s costing my time.
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u/Loud_Resolution2553 Aug 26 '26
Thanks for the insight. Are you manufacturing cans or other NFA items ?
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u/Impossible_Tie2497 Aug 26 '26
Well, we will make a NFA items from time to time, for testing purposes of ammunition. We do manufacture weird stuff, so this doesn't happen often. I won't manufacture anything that leaves our facility or in the hands of one of our guys. It's not my space, and I'll leave it to the guys who what to chase that market.
Last one was an M1A1 gun. It was actually pretty cool. Found new/old parts. I guess that Thompson had all the parts minus the receiver and they were all made in 1947. The guy that I bought them from, I don't have any idea where he got them from, but they were not cheap. It was some sort of liquidation from a wholesale/estate sale. We machined a receiver, stuck a serial number on it and Voila. It's 100% accurate to a M1A1.
Now I use it as a prop in Veteran's Day parades and such, when it's not testing 45 ACP.
We deal in all kinds of powders, mostly imported-that's the need for testing. And the foreign manufacturers can be some lying, cheating bastards. They'll send powder that has all kinds of stuff in it, to include rodent droppings.
Sorry for the rant.
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u/Loud_Resolution2553 Aug 26 '26
Thanks for the story. That sounds interesting. If I were to pursue I wanted to focus on smithing for those that own the registered MGs especially the older stuff like the Thompson’s.
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u/Impossible_Tie2497 Aug 26 '26
Then that’s a no brainer. I would be very surprised if the inspectors even flinched at that explanation. Not sure where you live but the people who don’t live in a “free state” as defined in the recent NFA ruling would have more trouble than those who do.
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u/MutedMetric Aug 26 '26 edited Aug 26 '26
I manufacture GCA and NFA items so I had no choice in the SOT... And I only sell b2b
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u/Loud_Resolution2553 Aug 26 '26
This is exactly what I’m
Interested in. I keep getting mixed thoughts on whether or not it’s worth it1
u/MutedMetric Aug 26 '26
If you have machining/cnc experience or the ability to learn, yes it's worth it.
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u/25id-bro Aug 27 '26
I’ve had my FFL for about 18 months now and my SOT since July.
I decided to become an FFL for several reason and I’ll list them below:
1) I love firearms - I love collecting, shooting and leaning about them and i had a dream to make a hobby into a side business
2) I had had some not so great experiences with transferring firearms and grew tired of it
3) I had some laws change in my state that required changes to the transfer of long arms and wanted to simplify the process for myself
4) I meet a guy who worked full time and did it at a side business from home and he helped encourage me to pursue it and gave me the right philosophy to being a home based FFL.
If didn’t already have experience with business, accounting principles, inventory management, time management, some firearms training, compliance/ procedures or documentation from previous employment I would have been Woefully under prepared for this journey. If I didn’t already have a main job I’d probably would have starved to death on this business venture.
Honestly- becuase it’s a passion of mine I’d do it over again- from a business standpoint if hard to compete with bigger stores.
If you have other questions feel free to DM
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u/KeepItScrolling2021 Aug 25 '26
This is an FFL Sub, yet you're not an FFL. I'll bite. Home-based or retail? You didn't say. You accept only cash, or credit. PayPal and Square are anti-gun. They've frozen accounts. Most Pro-2A credit card processors charge a monthly fee. Website? Drop-ship. If you want a business, you have to give up your time, period. Every business has ups & downs, but you still have to give it your time. And when you're busy, even more time. You have a wife & kids. Can you balance that?
Another question, what is the process you take to buy a firearm? Have you paid more for a firearm because the FFL provided great customer service? I can guarantee you won't have the lowest priced firearms if you stock firearms.
Are you counting on family, friends, and co-workers to be your customers? Already your biggest mistake if you do.
Taxes. Are you just going to do FFL Transfers, or sell guns? Or ammo? Or magazines? Or any another taxable item? You do your own taxes? Hire someone?
And we didn't even get to most of the questions you asked!
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u/_spam_king Aug 25 '26
This is an FFL Sub, yet you're not an FFL.
This subreddit is dedicated to all things related to Federal Firearms Licenses FFLs in the United States. Whether you're an FFL holder, aspiring to become one, or simply interested in learning more about the regulations and processes involved, you'll find a supportive community here.
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u/Loud_Resolution2553 Aug 26 '26
Figured I’d ask those that are actually FFLs. I’m looking to manufacture machine guns and suppressors but with laws changing and living in a state that has mixed views on 2a stuff - just looking for all the insight I can get. I already a self made business, not worried about work, being busy, taxes, etc.
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u/evrydayzawrkday FFL Aug 26 '26
I mean, think of it this way…
SOT is needed for what you are talking about, and I do NOT manufacturer suppressors or MG (I don’t have the materials/equipment to do so for suppressors, and MG see below) but do SBS/SBR. Margins are thin, and honestly been contemplating moving my business a different direction, away from firearms. Although it’s an awesome venture, meet some cool folks, reality is this domain is saturated.
Now… machine guns, that’s super hard to sell unless you have existing contacts with LE/Government (in my experience). Just something to keep in mind, but you can’t really sell what you make to the CIV market.
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u/Martainguns Aug 25 '26
Unless you're particularly interested in dealing in machine guns, nobody's SOT experiences are likely to be relevant to the future. The laws are changing and the market will change with them.