Small CNC job shop in a rented unit

Local manufacturers, engineering firms, equipment makers, startups building products and larger shops that outsource overflow work.

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

• CNC programming and setup
• Reading drawings and tolerances
• Quoting and estimating
• Basic bookkeeping and customer follow-up

• Check your city or county for a business license, zoning approval and a certificate of occupancy for industrial use
• General liability, property and equipment insurance, plus workers' compensation once you hire
• Used CNC machines can hide expensive problems, so get them inspected before buying
• Customers may pay slowly, so plan for cash flow and consider deposits on new accounts
• Aerospace, medical and defense work can require certifications or registrations, so check requirements before bidding
• Check state and local rules on coolant, oil and metal scrap disposal, and OSHA safety requirements

Startup costs are typically around $40,000 to $150,000, depending on the CNC mills and lathes you buy, whether they are used, your unit rental, and insurance. These are estimates, and used machines should be inspected before purchase.

Monthly revenue is typically around $8,000 to $35,000, depending on your machine capacity, the customers you win, and the mix of short-run and prototype work. These are estimates of revenue, and the idea assumes about 35 hours a week.

Check your city or county for a business license, zoning approval and a certificate of occupancy for industrial use. Also check insurance, state and local rules on coolant, oil and scrap disposal, OSHA requirements, and certifications for aerospace, medical or defense work.