Ohioans For Concealed Carry Discussion Forums

Hey,

Is anyone selling their hand loaded ammo. I've just had a bunch of people asking me to load some ammo for them and they are willing to pay me for it, but I want to be sure I am doing it legally. After looking into it, I have sent in my Form 7 application, with a Photo, and Fingerprint card, for a Type 06 FFL. It looks like I don't need to do ITAR as long as I am doing "manual reloading of ammunition .50 caliber or less.", according to ITAR's executive order.

If my Type 06 gets approved, is there anything else that I need to be concerned about. State Laws? I know how to run a business and do the appropriate taxes on it. I plan to get a vendors license for this as well and charge sales tax.

I know I won't be reloading that much to sell with my single stage press, but I honestly like loading ammo more than I like shooting it.

Lots of liability insurance? Set up as an LLC or full corporation to separate/protect your personal assets from business? Any fire marshall regs concerning storage and use of the powder/primer? That is all I can think of off the top of my head at 1 in the morning.

Buy more single stage presses. Set one of for each die.

synack2 wrote:Hey,

Is anyone selling their hand loaded ammo. I've just had a bunch of people asking me to load some ammo for them and they are willing to pay me for it, but I want to be sure I am doing it legally. After looking into it, I have sent in my Form 7 application, with a Photo, and Fingerprint card, for a Type 06 FFL. It looks like I don't need to do ITAR as long as I am doing "manual reloading of ammunition .50 caliber or less.", according to ITAR's executive order.

If my Type 06 gets approved, is there anything else that I need to be concerned about. State Laws? I know how to run a business and do the appropriate taxes on it. I plan to get a vendors license for this as well and charge sales tax.

I know I won't be reloading that much to sell with my single stage press, but I honestly like loading ammo more than I like shooting it.

You will need a Ohio Vendors License, and need to check your local zoning reg's on the type of home business you want to open.
There is also that pesky Federal Excise Tax you have to collect & report to ATF. (IIRC, some sales are exempt, some are not)
As Why_not stated, you will need liability insurance.
Please don't stain your britches when you see the price tag for that. 20+ years ago one gent I knew was paying about 2k per year for a $1M policy.
Last, but not least, set your business entity up to shield your home & assets from any potential lawsuits. It only takes 1 squib to loose everything.

I wont sell just because I would feel terrible if something went wrong and someone was injured by one of my reloads.

Is a person who reloads ammunition required to be licensed as a manufacturer?

Here's the answer from the ATF.
It is what I thought was the answer but I checked to be sure.

Yes, if the person engages in the business of selling or distributing reloads for the purpose of livelihood and profit.

No, if the person reloads only for personal use.

[18 U.S.C. 922(a) and 923(a); 27 CFR 478.41]

purpose of livelihood and profit.

Seems like a grey area here. Easy enough to show livelihood from a job with a paycheck and to show potential profit eaten by tools.

what if someone sold 80% reloaded, you come over and put each one through a single stage press for the final crimp and put them in the box yourself

eugene wrote:

purpose of livelihood and profit.

Seems like a grey area here. Easy enough to show livelihood from a job with a paycheck and to show potential profit eaten by tools.

what if someone sold 80% reloaded, you come over and put each one through a single stage press for the final crimp and put them in the box yourself

Profit is exchange of cash or some form of payment. Final crimp isn’t needed for the cartridge to ignite.