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Thread: How to open gun manufacturing company

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    Question How to open gun manufacturing company

    What does it take to open your own business for gun manufacturing? I have blue prints and dies of an old gun and would like to manufacture the gun? How would someone accomplish this? What is your opinion of opening a gunsmithing machine shop? How much would something like this cost? What kind of equipment is needed? What kind of law is prohibiting?
    Any information is appreciated?
    Thank you,
    Joe

  2. #2
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    you need an ffl 07 if you are going to make them for sale. Check with the atfe and your city for requirements, zoning etc. Next take some small business classes. I would venture to guess start to finish somwhere in 750k and 1.5 to do it right. Depending on rent, buy, existing structer or build. Equipment list can go on for pages. Basics at least 1 mill, lathe, blasting cabinet, bluing tanks, tig, benches, grinders, torches, oven, compressor, vices. You will also need to call brownells and just say ok if you do not know to make parts.

    No offense, but you are asking some really basic questions that if you do not allready have the knowledge, you probably should not attempt it.
    Chris Hipes
    Hipes Consulting Services LLC
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    Other Options

    If you only want to produce 5000 guns (one type), is it better to outsource services? Are there outsource machine shops? How would you outsource production?

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    Quote Originally Posted by snowcorn23
    I have blue prints and dies of an old gun and would like to manufacture the gun?
    Joe
    Do you have any indications that a modern reproduction of this "old gun" would sell to the average gun buyer? I say this because I have personally known a really good gunsmith whose business failed because his product was just too specialized to appeal to most shooters. You may be fascinated by your particular firearm design, but that won't get the bills paid.

    Ed

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    Risk

    Thats what I'm trying to find out, is it worth the risk and margin of profit for a quick gamble? 1000 guns @ $500. 50 pieces.

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    Quote Originally Posted by snowcorn23
    Thats what I'm trying to find out, is it worth the risk and margin of profit for a quick gamble? 1000 guns @ $500. 50 pieces.
    Do you really think you can sell a 1000 of them? Are you willing to loose everything you've invested and be stuck with an inventory of items that aren't selling? Are you willing to put 100% effort into it? If you answered yes, then go for it.
    Don't be afraid of the hole.

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    You need to sample the market. Create a questionnaire or something and put it out there to see if there is a need for this 'old gun'. Do your market research before you spend any money.

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    It is a long process. First I would contact a good lawyer that is familier with such things. He will know the laws and how they are laid out. Then I would talk to your CPA and ask about the business end of it (taxes, licenses and Insurance cost). You will also need to see about programs that are available for small businesses, there are millions of tax dollars hidden away in grant programs under the guise of SBA grants. And yes, contact your local chapter of the SBA. Oft times they can help you with grants or low interest loans. In addtion to mentoring programs, "red tape" help, training and other resources. Hope that helps.

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    Call ACORN!

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    Quote Originally Posted by medphys
    Do you really think you can sell a 1000 of them? Are you willing to loose everything you've invested and be stuck with an inventory of items that aren't selling? Are you willing to put 100% effort into it? If you answered yes, then go for it.

    Whats the warranty?
    Chris Hipes
    Hipes Consulting Services LLC
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    poulan10takethisoutsoidonotgetmorespam@yahoo.com
    North Texas

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    This sounds like an operation that would best be farmed out, if even pursued, assuming profit is your motive. As others have noted, first pursue a sound business plan.

    Best of luck whatever you decide.

    Not legal advice, MHO, YMMV, etc.

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    To make a small fortune in the gun business is very, very easy: start with a large one!
    Nearly anything is legal if you have enough paperwork.

  13. #13
    Registered User TrippHammer's Avatar
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    What does it take to open your own business for gun manufacturing?
    LLC Corp or Sole Propietorship (min. business plan)
    FFL & 07 manufactures liscence
    Facility, tooling & raw materials


    I have blue prints and dies of an old gun and would like to manufacture the gun?
    Ask yourself Who would purchase this old gun and is it really a practical money making venture.

    How would someone accomplish this?
    You can do it all yourself or you can pay 75% more and farm the manufac turing out & do all final assembly, merchandising & marketing your old firearm.

    What is your opinion of opening a gunsmithing machine shop?
    W/ out gunsmithing & tooling experience?
    I think its a bad idea.


    How much would something like this cost?
    I would think the start up cost in tooling alone would cost twice that of the estimated net profits. In the end tooling and equipment cost will be the largest fixed cost. On a small project like this the odds are you will never be able to make enough guns to create gross profit to pay for your fixed cost like tooling, raw materials, liscensing and labor.
    You could rent your shop time out or make stuff for other people.


    What kind of equipment is needed?
    Everything, the list is all encompassing. The basics like a milling machine and a lathe, etc, etc....

    What kind of law is prohibiting?
    Don't know what you mean? A type 07 title 01 manufacture can make
    anything accept machine guns & supressors or DD. You would need to aquire an Class 2 SOT / 07 maybe 10 status to manufacture Post sample machine guns or Supressors.
    $500 annual for small manufactures and $2,500 a year for ITAR

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    UZI Talk Supporter mob's Avatar
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    if your smart you will just buy a currently running and operating and profit producing company.
    i dont mess with the ATF, they dont mess around, they are like a fat convention at a chinese buffet, either way they are there for a reason and they are gonna leave a hurt on ya once they are done

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    First figure out how much money you need to produce your product( and it will be a lot). Then tripple that figure and you may be close to start up costs. Been there done that.
    Richard Hoffman
    Gunsmith/Owner

    BWE Firearms & UZI HQ
    Longwood, FL
    (407) 592-3975
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    richard@bwefirearms.com

  16. #16
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    I think LUSA is for sale.

    http://www.lusausa.com/
    All it takes for evil to triumph is for good men to do nothing.

    IF YOUR NEW WATCH THIS NOW.
    It could save your account

  17. #17
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    Quote Originally Posted by FOZ
    I think LUSA is for sale.

    http://www.lusausa.com/

    I think he said "profit producing"......
    2013 FUN GUN SHOOT
    South Dakotas Largest Machine Gun Shoot


    http://www.fungunshoot.com


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