Small CNC job shop in a rented industrial unit

Local manufacturers, equipment builders, engineering firms, agricultural and resource-sector suppliers and product developers who outsource machining.

Quoted price per part or per batch, based on machine time, setup, material and finishing. Steady repeat orders from a handful of regular customers keep the machines busy.

• CNC programming and machine setup (CAD/CAM)
• Reading engineering drawings and tolerances
• Quoting, scheduling and delivery planning
• Quality inspection

• Large upfront equipment costs and a lease: model slow months before committing
• Commercial general liability and equipment insurance, plus workers' compensation (WCB/WSIB) once you hire
• Workplace safety training, machine guarding and WHMIS requirements for chemicals, so check your provincial rules
• Environmental rules for coolant, oil and metal waste, so check with your municipality and province
• Defence or aerospace work may require registration or certification (such as the Controlled Goods Program or quality standards), so check before bidding
• Relying on one or two big customers: a lost account can leave machines idle

Startup costs are estimated at typically around $80,000 to $300,000, depending on how many CNC and manual machines you buy and your lease. Equipment costs are large upfront, so model slow months before committing.

Check workplace safety training, machine guarding and WHMIS requirements under your provincial rules, plus environmental rules for coolant, oil and metal waste. Defence or aerospace work may need registration such as the Controlled Goods Program, so check before bidding.

Monthly revenue is estimated at typically around $10,000 to $40,000, depending on your customers and workload. The estimate assumes at least about 35 hours a week. Relying on one or two big customers is a risk if an account is lost.