Audit Checklist

Real-World-Inspired Example of a Failed ATF Audit


(with Fictionalized Business and Details for Privacy)

FFL Business: Patriot Tactical Supply
Location: Fayetteville, NC
FFL Type: Type 01 – Dealer in Firearms Other Than Destructive Devices
Inspection Year: 2023
Result: Revocation recommended due to willful violations
Violations Identified by ATF:

  • Over 50 instances of failing to complete ATF Form 4473 properly
  • Missing buyer identification documents in multiple transaction records
  • Discrepancies between A&D Book entries and physical inventory
  • Multiple instances of firearms not recorded within the required 7-day window
  • No evidence of NICS background check responses on file
  • Several NFA transfers lacked corresponding Form 4 approvals and fingerprint cards

How FFLAssist Could Have Prevented the Failed Audit

1. Incomplete or Incorrect Form 4473 Entries

Issue: Both Staff and Customers were missing fields or entering incorrect information, especially on sections B and D.
How FFLAssist Helps:

  • FFLAssist includes a guided 4473 digital workflow with validation checks and required-field enforcement for both Customers (Section B) and Staff (Section D).
  • Both Customers and Staff are alerted in real-time if any field is missed or improperly filled.
  • Integrated 4473 audit logs show which employee completed which sections and when.
  • Corrections to “Yes/No” questions in Section B are made only by customers and digitally initialed.

2. Missing Buyer Identification Documents

Issue: ATF found several transactions with no photocopy of the buyer’s ID or supporting documentation.
How FFLAssist Helps:

  • FFLAssist integrates with scanner hardware or mobile scanning tools to attach driver’s licenses or military IDs directly to the customer record, or the associated 4473 or NFA records.
  • Information contained on scanned documents is digitally compared to data manually entered in Section B.
  • File attachments are automatically linked to the corresponding 4473 for full traceability.

3. A&D Book Discrepancies

Issue: Firearms listed as sold were still in inventory, and acquisitions weren’t logged in time.
How FFLAssist Helps:

  • FFLAssist automatically updates the A&D Book when a firearm is acquired, transferred, or sold, requiring no manual entry.
  • Built-in audit trails record user actions and alert managers of delays beyond ATF’s required timeframes (1 business day for acquisitions, 7 days if acquired from non-licensee).
  • Physical inventory reconciliation reports highlight mismatches between system records and on-hand counts.
  • “Mock ATF Audit” and “Audit Checklist” (list of SOP actions) pre-emptively identify 4473 audit issues.

4. Missing NICS Documentation

Issue: No record of NICS background checks, outcomes, or override approvals.
How FFLAssist Helps:

  • FFLAssist connects with NICS to obtain the response number and results.
  • Digital workflow prevents transaction certification if missing NICS information.
  • “Mock ATF Audit” pre-emptively identifies missing NICS information.
  • The system blocks a sale from proceeding without entering a valid NICS result.

5. Improper or Incomplete NFA Transfers

Issue: Several suppressors and SBRs were transferred before receiving ATF Form 4 approval.
How FFLAssist Helps:

  • The NFA module in FFLAssist tracks every Form 4/ATF submission and links it to the specific firearm and customer.
  • Alerts prevent premature transfers and require documentation uploads (fingerprint cards, CLEO notifications, tax stamp copies) before marking the item as transferred.
  • “Mock ATF Audit” and “Audit Checklist” pre-emptively identify NFA audit issues.

Result with FFLAssist

If Patriot Tactical Supply had implemented FFLAssist:

  • Errors would have been flagged immediately, reducing willful violations.
  • All required documents would have been centralized and time-stamped.
  • Mock Audit readiness reports could have been generated on demand, identifying risk areas before the ATF inspection.
  • Most importantly, FFLAssist would create a digital compliance safety net, preventing loss of license due to administrative oversights.

To discuss what FFLAssist can do for your business, click here.

To schedule a no-obligation 1-hour demo, click here and select which date/time works best for you.


Type 1 FFL and NRA Certified Pistol Instructor