Gun Dealer Margins and License

[JsJs24]

TweetI'm not sure how much the typical gun dealer marks up their guns, but I have heard it is in the range of 30%-50%, and some only mark up 20%. Well, one of my close friends is getting his dealer license and is only going to charge me and other close friends 15% mark up. I assume this will be a good price but he doesn't have any idea yet how much he will get them for since he is still in the process of obtaining the license.

The process has taken him more than 6 months already and he should have it by the end of the month. The ATF just did their interview with him and inspected his house; which puts him at the final stage. Then, when approved he has to have his website up and running to be granted the license. He said they require either a store front or a website store. He lives in South Carolina so the requirements may be different in other states. Anyway, I am hopeful that he will be able to save me a decent amount on my future purposes. I am going to be using a local pawn shop that only charges $25.00 for FFL. This is the way to go these days considering the great deals on the internet. For instance, my local H&K dealer wants $995 for a 9mm P30, but www.budsgunshop.com has it for $799 including shipping and no state sales tax. Thus, I will pay $799 for the gun, $25 for the FFL, and $25 for the background check. A total of only $849 compared to $995 plus tax and background at my local HK dealer, which totals $1101.00. I'm saving $251.00 by ordering online. Not sure if any of you use Buds but man do they have good prices and their reviews are terrific. They also auction off guns pretty regularly too. I almost got the P30 for $735 the other day but the timer ran out right before I clicked submit for my last bid. Another close friend of mine has ordered 3 or 4 guns from them and said he always gets them in less than a week, and usually 3 days.

[horsepwr]

TweetThat should work out great for your future purchases, indeed!

$25 for background check?! It's $5 at the local gun shops here. The max that can be charged for background check is $7 in FL.

I've heard of some good deals coming from Buds.

[horsepwr]

Tweet...oh, and your mark-up figures for retail go along with what I've said before about the fairness in the firearms market/industry...Every other area of retail that I can think of has, at the very least, a 100% mark-up. Hence the ability for 75% off sales. Then even that price cut in half sometimes. Then, clothes that don't sell being able to profit a whole nother line of business.(TJ-Max, Ross, etc...that still profit off those clothes that didn't sell even after a 75% drop in price.)

[rc10j1]

TweetOnly bad thing about having a ffl and the business at home is the BATF can come in your home anyday anytime for no reason to look around with no warrant needed. Luckily the gu dealer I use only charges a small fee over his cost. He does it for a hobby he is retired Here in TX. He's even cheaper than walmart and academy.

[JsJs24]

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That should work out great for your future purchases, indeed!

$25 for background check?! It's $5 at the local gun shops here. The max that can be charged for background check is $7 in FL.

I've heard of some good deals coming from Buds.

Yeah our backgrounds are $25 at all gun stores in NV.

You should check out Bud's. Their prices are the lowest I've seen; plus they have awesome reviews across the board. The best thing about it is a lot of people post a review of the gun they bought and the service from Bud's. It's a good way to find out if a gun is good or not. People let you know how their experience was shooting it, if there were any hiccups with certain ammo, etc.

[deepsouth]

TweetA small FFL holder doesn't save you that much money becuase he doesn't buy bulk like big dealers. They can sometimes run across some decent deals, but more times that not he will make most of his money handling transfers

[JsJs24]

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A small FFL holder doesn't save you that much money becuase he doesn't buy bulk like big dealers. They can sometimes run across some decent deals, but more times that not he will make most of his money handling transfers

Well then, even though he's my best friend, if he can't offer me cheaper prices than Bud's then I will stick with them.

[horsepwr]

TweetSpeakin of the guns in this thread. They're all about the same, really a few bucks less OTD at my lgs. after transfer+ from Buds. Bud's price on Keltec 380s would be higher, for instance. After transfer fees+...It'd be at least $320. for the blued one. tax, tag & title. They're $307 OTD from my lgs.

[deepsouth]

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Well then, even though he's my best friend, if he can't offer me cheaper prices than Bud's then I will stick with them.

Just FYI- look for local online gun forums with classifieds, thats where you'll find the best deals with NO paper trail. We have many here in Texas and I normally do all my transactions face to face with no registration(enjoy that while you can)