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View Full Version : do FFLs get discounts for reloading supplies?



9w1911
11-05-2014, 08:38 PM
Long story short, got some work, boss is an FFL said I could order what I needed if he got discounts.

dragon813gt
11-05-2014, 08:49 PM
Doubt it. Like all merchandise I'd assume the discounts come w/ volume.

flyer1
11-05-2014, 08:57 PM
When I had an FFL, Graf and son had a an FFL discount. That ,however, was back during the Clinton administration. Could not hurt to give them a call.

jcwit
11-05-2014, 09:04 PM
Doubt an FFL will get any discounts, nor is an FFL required to buy reloading components.

Now then if he wishes to apply and get a retail license, and collect sales tax if required, he likely will qualify as a retail merchant, and be able to buy at wholesale pricing, which may get better as the quantity goes up.

Most bona fide wholesalers only sell to licensed retail merchants.

LAH
11-05-2014, 09:07 PM
I had a Class 6 & a business license. I could get discounts from some suppliers. Didn't amount much. If you want to purchase 6 or 7 figures you can get a discount.

Adam10mm
11-05-2014, 09:12 PM
Yes there are discounts. Several wholesale suppliers serve only FFLs. I am on file with a few.

wv109323
11-05-2014, 09:33 PM
+1 on LAH. Some distributors offer discounts in the 3-5% range for dealers. I don't think it is enough to sway your decision.

Adam10mm
11-05-2014, 09:49 PM
If discounts are only 3-5% you aren't buying from the right place period. It doesn't take 6-7 figures to get good discounts.

abunaitoo
11-05-2014, 10:04 PM
Some placed give a small discount.
I have a C&R, and I get the discount.
Used to get discount from Graf.
On day I get a call from a real bitch telling me I'm not getting a discount because I didn't buy enough. I asked her if this was something new, as I've never heard of this policy.
I've never ordered much over the years. Shipping cost makes the price almost the same as getting it here.
The bitch made like I was trying to cheat her personally. Asked to speak to a supervisor. Bitch said she was the supervisor.
I told her to cancel the order, and asked to be transferred to the owner. Bitch hung up.
Send them an email. Never got an answer.
Haven't ordered from them since.

jcwit
11-05-2014, 10:36 PM
By Golly, You showed them!

jcwit
11-05-2014, 10:38 PM
+1 on LAH. Some distributors offer discounts in the 3-5% range for dealers. I don't think it is enough to sway your decision.

You trying to tell me the local gun store works on a 3 to 5 % mark-up?

M-Tecs
11-05-2014, 11:05 PM
Yes there are discounts and access to wholesalers that no-ffl holders don't get but that varies with each company. Like anything it pays to price shop.

Hannibal
11-05-2014, 11:07 PM
By Golly, You showed them!

If I get bad service from a business, I don't go back. Large or small. You're opinion/results may vary.

Hannibal
11-05-2014, 11:11 PM
You trying to tell me the local gun store works on a 3 to 5 % mark-up?


I think he's trying to say what we all already know. If you own a small business right now, you're on your own. After all, 'You didn't build that!" Remember? I sure do!

jcwit
11-05-2014, 11:35 PM
If I get bad service from a business, I don't go back. Large or small. You're opinion/results may vary.

Happened a few times back in my days as a procurement officer for a Fortune 500 company, but in the end the low price, quality, and delivery was the deciding facture. And when purchase orders are in the 7 figures, bad service can be taken into account, and dealt with.

My results did vary, and did so years later in my own retail business.

jcwit
11-05-2014, 11:38 PM
I think he's trying to say what we all already know. If you own a small business right now, you're on your own. After all, 'You didn't build that!" Remember? I sure do!

Obstacles that can be overcome.

But then I'm glad to be retired.

LAH
11-05-2014, 11:47 PM
If discounts are only 3-5% you aren't buying from the right place period. It doesn't take 6-7 figures to get good discounts.

6-7 figures was purchases from the factory. Winchester at my time required a 7 figure order. I could find good discounts from time to time especially at trade shows. But for what I did, selling components, I did better with companies closing & selling out.

Adam10mm
11-06-2014, 06:26 AM
6-7 figures was purchases from the factory. Winchester at my time required a 7 figure order. I could find good discounts from time to time especially at trade shows. But for what I did, selling components, I did better with companies closing & selling out.
As an 07 FFL, I'm buying primers at 40% discount than what PVI retails them for and my price includes shipping and HazMat fees.

LAH
11-06-2014, 02:42 PM
LGS does the same here. Many of the primers I used in my business came from him.

Adam10mm
11-06-2014, 07:24 PM
I use primers for my ammo only. I signed an OEM only contract and get CCI primers for $90/case delivered.

LAH
11-06-2014, 08:22 PM
That's a good price Adam. If I paid PV price I would have 27.83/1000 delivered. The ones I picked up last were 110/case.

starmac
11-07-2014, 12:46 AM
I use primers for my ammo only. I signed an OEM only contract and get CCI primers for $90/case delivered.

If I understand you right, you get a big discount, but can not resell them, except in loaded ammo?

Adam10mm
11-07-2014, 06:35 AM
If I understand you right, you get a big discount, but can not resell them, except in loaded ammo?
Correct. I'm an 07 FFL (firearm manufacturer) and load ammo as an OEM for my company. I get OEM pricing on primers but sign an agreement not to resell them, even to another OEM manufacturer. I can only buy primers at that price with the understanding that they are to be used in my ammunition brand only and no other use or reuse is permitted. If I break that agreement, I lose OEM pricing and am blacklisted in the industry for future sales from suppliers. Hornady does the same with their bullets as do other companies.

mrvmax
11-07-2014, 07:42 AM
You trying to tell me the local gun store works on a 3 to 5 % mark-up?
You are closer to the truth than you think. That is sometimes my profit margin on firearms to be competitive with places like Bud's and Grab A Gun that sell with such low profit margins. The main way to buy and get bigger discounts is through buying groups but an FFL needs to have some high yearly sales figures to get into buying groups.

Lance Boyle
11-07-2014, 09:24 AM
You trying to tell me the local gun store works on a 3 to 5 % mark-up?

Guns are that tight.

The other stuff in the shop should be 20-40% in retail depending on the items. I can say I used to get in on some orders via clubs and dealers and the price difference was pretty good compared to retail, even online retail. Trap shooting clubs back in the day used to be able to piggy back components onto their big truck order of pigeons. It was no problem to add in kegs of powder or other components. The discount varied off of catalog prices. I used to buy all my federal GMM primers and powder that way.

jcwit
11-07-2014, 10:49 AM
You are closer to the truth than you think. That is sometimes my profit margin on firearms to be competitive with places like Bud's and Grab A Gun that sell with such low profit margins. The main way to buy and get bigger discounts is through buying groups but an FFL needs to have some high yearly sales figures to get into buying groups.

If that were true for all products you sell across the board you better give up the gun store business and get a booth at your local flea market. Profit margin would be much higher and overhead much lower.

Lance Boyle
11-07-2014, 12:07 PM
I should have said most new guns are that tight. Get a specialty limited run gun and sometimes they can play games like the Chevy dealer with a couple of special model corvettes.

Used guns, well that's were most shops can make some money, just like the car dealer. You work the dealer down to 2% under invoice and he comes up with 5 reasons why he can only give you $4k for a car Edmunds has at $7-8k trade in.


I had an old gun shop owner I worked for tell me when I was marking hunting clothes, "if you ain't making at least 20% over all, you ain't making it". Only the places with lots and lots of volume can afford the lower margins. Doesn't matter what type of business.

starmac
11-07-2014, 04:08 PM
When wallmart hit the part of NM I lived in, some gun shops went out of business comepletly, those that stayed in quit stocking new rifles. They would order you one for 10% over their cost. They still dealt in used rifles and new pistols, but keeping new rifles on the shelf just didn't pay off. I am sure the internet has done in a lot of shops since then.