Small machine shop for custom and repair parts

Local manufacturers, farms, auto and equipment repair shops, contractors, hobbyists and restorers.

Hourly shop rate or a quoted price per job, plus materials. Repeat customers who need regular repairs and short production runs give steadier work.

• Machining on a mill and lathe
• Reading drawings and measuring precisely
• Quoting jobs and managing deadlines

• General liability insurance, and product liability cover if you make parts for sale. Check what your insurer requires
• Zoning and any local business license for a workshop. Check with your city or county
• Three-phase power, noise and fire rules for the building. Check with your landlord and local fire marshal
• Machining is dangerous work. Plan for guarding, eye protection and training, and workers' compensation once you hire
• Parts used in aerospace, medical or safety-critical products may need certifications you won't have at the start. Check before accepting them

Startup costs are typically around $25,000 to $100,000, depending on the machines, tooling and rental space you choose. These are estimates, not quotes, so price your own equipment and lease before committing.

Monthly revenue is typically estimated at around $4,000 to $20,000, depending on how many jobs you win and how many hours you work. The estimate assumes at least about 30 hours a week, and it is revenue before your costs.

Check general liability insurance, plus product liability if you make parts for sale. Also check zoning and any local business license, three-phase power, noise and fire rules, and whether aerospace or medical parts need certifications you won't have at the start.