(1) The Commissioner is not to grant a firearms dealer licence in respect of category C firearms, category D firearms or category H firearms unless:
(a) the applicant for the licence is already the holder of a firearms dealer licence;
(b) the applicant produces evidence to the Commissioner's satisfaction that the applicant derives a substantial part of his or her income from dealing in firearms; and
(c) the Commissioner is satisfied that the applicant has complied with the reporting and the storage and safe keeping requirements in respect of the firearms dealer licence held by the applicant.
(2) Subregulation (1) does not apply where the applicant is an approved firearms club.