Welcome back to another episode of Gun Industry Insider, where we bring you the latest developments shaping the firearms industry. I’m your host, Ray Toofan, and today is August 6, 2025. In this episode, we’ll dive into the new voluntary serial number check capability for retailers under the Bipartisan Safer Communities Act, Vudoo Gun Works' relocation to Oklahoma and its implications for affected dealers, and the July NICS background check numbers showing a dip below one million.. These developments matter to you, offering critical insights into industry trends and opportunities. Let’s get into today’s episode.

First up, The Bipartisan Safer Communities Act authorized a new capability for firearm retailers to voluntarily check serial numbers against the National Crime Information Center Gun File for stolen firearms. This service opened on August 4, and provides access to records on firearms reported as stolen, lost, missing, recovered, or used in felonies. Retailers can now query the NCIC database to verify if a used or consigned firearm has a problematic history before completing a sale or transfer. This voluntary check helps comply with federal law prohibiting the knowing sale of stolen guns under 18 U.S.C. section 922(j), reducing the risk of unintentional violations that could lead to fines or license issues.

For shop owners handling secondary market transactions, this tool addresses a longstanding gap. Previously, retailers had no direct way to confirm a firearm's status beyond visual inspection or customer statements, leaving them exposed if a gun turned out stolen. Now, a quick search can flag potential problems, allowing retailers to contact law enforcement for confirmation and avoid proceeding with risky sales. Gunsmiths benefit similarly when accepting firearms for repair or modification, as they can check serial numbers to ensure the item is legitimate, protecting against liability in cases where a stolen gun might be involved. Manufacturer representatives dealing with returns or warranty work on used products can advise dealers to use this service to streamline processes and minimize disputes over provenance.

The service benefits the entire industry by promoting responsible practices. Retailers who adopt it demonstrate diligence to customers, potentially building trust with buyers concerned about purchasing clean firearms. Law enforcement gains from increased recoveries, as positive matches lead to notifications that can return guns to owners or aid investigations. Wholesalers supplying used inventory to shops can encourage this check as part of standard procedures, helping maintain clean supply chains. However, the tool does not cover all risks, such as liens or ownership disputes, so it serves as one layer in a broader compliance strategy. State laws may require additional steps, and retailers in point-of-contact states should consult their agencies for any mandates.

Access varies by state, with three main methods available. Retailers can partner with local law enforcement to run the query, use a state-provided secure website or app if offered, or go directly through the FBI's NICS E-Check application. The FBI provides an interactive map on their website under NCIC Gun File resources to show options by state. For example, in Colorado, the InstaCheck portal handles these searches. Retailers in non-point-of-contact states often default to the NICS E-Check for nationwide access.

To register for the NICS E-Check, assuming you haven’t already done so, visit nicsezcheckfbi.gov and select the option to register for stolen gun queries. Complete the electronic form, and expect a username via email followed by a temporary password in a separate message. Existing NICS E-Check users for background checks can simply log in, where the stolen gun query appears at the bottom of the processes list. Once registered, submitting a query requires only the firearm's manufacturer-assigned serial number. Enter it exactly, and for long numbers exceeding 20 characters, search the rightmost 20 first, then the leftmost if no match. On firearms with multiple numbers, prioritize the one on the frame or receiver, and check others if needed. For guns without a serial number, like pre-1968 models or privately made firearms, use any alphanumeric identifiers if the item is legally transferable.

The search returns instant results. A no-record response means no exact match to a stolen entry. A positive match provides details like make, model, caliber, and type, along with a caveat noting it's based on an exact serial number search. Retailers must compare these details to the physical firearm, as serial numbers can repeat across different makes and models. If the match aligns, notify the local ATF field office and the law enforcement agency with jurisdiction immediately. Do not seize or hold the firearm, as that could violate federal law; let authorities handle recovery. Document the query and response for records, and consult legal counsel on whether to collect seller information beforehand for follow-up.

Integration with software like FastBound simplifies the process, automating checks within inventory systems for efficiency. This is particularly useful for high-volume shops, where manual queries might slow operations. Training staff on the tool ensures consistent use, and retailers should monitor for updates from the FBI, as processes may evolve. The service incurs no direct cost, though software fees apply if using third-party tools. Overall, this capability empowers retailers to make informed decisions, safeguarding businesses while supporting industry integrity. Shop owners can start by checking the FBI map and registering today to incorporate it into daily workflows.

Next up, Vudoo Gun Works issued a press release announcing the relocation of its headquarters and manufacturing operations to Prague, Oklahoma, with production set to resume on August 18. We spoke about Vudoo in episodes 17 and 18, and you can go back and listen to those episodes for details on the saga. The statement from Vudoo positions this as a strategic move to improve efficiency, expand research and development, and tap into a skilled workforce in a state supportive of Second Amendment businesses. CEO Jacob Herman emphasized commitment to innovation and customer service, noting the new facility has a history in precision machining and firearms production. The release mentions plans to create 60 jobs and invest 8.3 million dollars, with an on-site range for accuracy testing to uphold quality standards. It also assures that all existing orders will be fulfilled in the sequence received, directing inquiries to specific email addresses for updates on orders or new sales. Oklahoma officials welcomed the development, highlighting the state's gunsmithing programs and business environment as key draws.

This comes after months of uncertainty where rumors of closure in Utah and a rushed move surfaced amid reports of staff layoffs and unpaid vendors. The timeline has extended far beyond the initial four to six weeks mentioned in May, raising questions about the company's ability to deliver on these promises. Shop owners and dealers who prepaid for products like the Priest or Mobius pistols, or precision rimfire rifles, need to approach this cautiously. Despite the assurance on order fulfillment, Vudoo has not initiated direct contact with affected parties to provide timelines, refund options, or status updates on pending builds. This lack of outreach leaves retailers in a vulnerable position, especially those handling customer deposits, as it erodes trust and complicates explanations to buyers waiting on high-end items.

For dealers impacted, prioritize documenting all transactions, including payments, order confirmations, and any prior communications. If payments were made via credit card and within the dispute window—typically up to six months—file a chargeback immediately to recover funds. Those beyond that period may need to explore small claims court or coordinate with other affected parties for potential collective action, though legal costs could outweigh recoveries if the company faces deeper financial troubles. 

The announcement could signal a path to stability if executed, but the ongoing silence toward prepaid dealers suggests operational challenges persist. Retailers should monitor the company's website and social media for verifiable progress beyond the press release, and consider diversifying suppliers for similar premium firearms to mitigate risks. If Vudoo resumes without addressing these backlogs, it could further damage industry confidence in smaller manufacturers.

The latest adjusted NICS background check numbers for July came in at 978,731, marking an 8.1 percent drop from the 1,064,790 seen in July 2024. The unadjusted FBI figure hit 1,936,621, down 4.2 percent from last year's unadjusted total of 2,021,235. These adjusted numbers strip out permit checks and rechecks for concealed carry applications, giving a clearer picture of firearm sales trends, though they don't equate directly to units sold given state variations and multiple purchases per check. This is the first time in over 70 months that adjusted checks have dipped below one million, ending a streak that held steady through various market shifts.

For shop owners tracking inventory and sales patterns, this decline aligns with the typical summer slowdown, when demand often softens as customers focus on outdoor activities rather than new purchases. Gunsmiths might notice fewer requests for modifications or repairs tied to fresh acquisitions, shifting work toward maintenance on existing firearms. Manufacturer and wholesaler reps could see this as a cue to adjust pitches, emphasizing value in slower periods to maintain dealer relationships. Economic factors like inflation continue to play a role, potentially delaying buys for non-essential items, while the political stability post-election has reduced urgency driven by regulatory fears.

Another element influencing these numbers is the upcoming change to NFA tax stamps under the Big Beautiful Bill, set to drop from 200 dollars to zero starting January 1. Buyers anticipating suppressors, short-barreled rifles, or other NFA items may hold off on related purchases, waiting for the savings and simplified process. This could explain part of the dip, as those planning builds or accessories pause to avoid the current fee. Retailers should prepare for a potential surge come January, stocking up on compatible products and educating staff on the shift to capitalize on renewed interest. Wholesalers might advise dealers to highlight this timeline in promotions, framing the wait as an opportunity for cost-effective upgrades. Overall, while the figures suggest a cooling market, they reflect seasonal norms rather than a broader downturn, with opportunities ahead for those adapting to the NFA changes.

Wrapping up today’s episode, we explored the new voluntary serial number check capability for retailers under the Bipartisan Safer Communities Act, Vudoo Gun Works' relocation to Oklahoma and its implications for affected dealers, and the July NICS background check numbers showing a dip below one million. These developments offer insights for navigating the evolving firearms market. Got thoughts or topics you’d like us to look into? Email us at insider@gunindustryinsider.com or reach out on X at @GunInsider. Stay tuned for the next episode—we’ll bring you more updates that matter to your shop or next sales call. Thanks for listening. Until next time!