CNC Machine Shop
Precision parts, ugly websites, and customers who care more about tolerances than branding
CNC machine shops produce precision components, prototypes, tooling, and short-run parts for industrial and commercial customers. BizBuySell's machining and tooling benchmarks show median revenue of $1.09 million, median owner earnings of $269,438, and average earnings multiples of 3.45x, with 2025 buyers often paying at or above asking price. The surprising angle is that a shop with a few sticky OEM relationships and underutilized machines can become a quiet cash generator with real strategic value to larger buyers.
Avg Revenue
$1.2M
Profit Margin
22%
Acquisition Multiple
2.8x - 4.4x
Startup Cost
$250K - $2.0M
Difficulty
5/5
How It Works
Customers send drawings or CAD files, the shop quotes the job, programs CNC machines, sources raw material, and produces parts to specification. Revenue comes from repeat production runs, prototyping, tooling, and rush jobs. Shop value rises with customer diversification, machine utilization, QA systems, and the ability to keep tribal knowledge in process docs instead of the owner's head.
Revenue Range
Real Acquisitions in This Category
SBA 7(a) change-of-ownership loans · NAICS 332710 · Machine Shops
Deal Size Distribution
Deal Flow Over Time
Financing Profile
Recent Comparable Deals
| Closed | State | Loan | Implied deal | Jobs | Franchise |
|---|---|---|---|---|---|
| Dec 2025 | TX | $3.9M | $4.6M | 28 | — |
| Dec 2025 | TX | $400K | $471K | 28 | — |
| Dec 2025 | NC | $3.4M | $3.9M | 12 | — |
| Sep 2025 | NC | $1.8M | $2.2M | 5 | — |
| Sep 2025 | TN | $2.9M | $3.5M | 22 | — |
| Sep 2025 | PA | $717K | $844K | 9 | — |
| Aug 2025 | CA | $350K | $412K | 6 | — |
| Aug 2025 | MN | $1.1M | $1.4M | 5 | — |
| Jul 2025 | PA | $350K | $412K | 24 | — |
| Jul 2025 | PA | $4.7M | $5.5M | 24 | — |
Source: SBA 7(a) FOIA dataset, filtered to acquisitions (loans where business age is "Change of Ownership"). Implied deal size assumes an 85% loan-to-purchase ratio, a common SBA change-of-ownership structure. Charge-off rate shown only when 10+ loans have resolved (paid in full or charged off). Interest rates reflect last 24 months only. Actual deal values vary with equity injections, seller financing, and working capital terms.
Pros
- +Sticky B2B customers once quality and lead times are proven
- +Asset base creates a real moat in local markets
- +Can win higher multiples than many Main Street businesses
- +Strategic buyers care about capacity, certifications, and customer relationships
Cons
- -Heavy capex and maintenance burden
- -Skilled machinist recruiting is tough
- -Customer concentration and project cyclicality can be dangerous
Best For
Operators or buyers who understand industrial sales, process discipline, and capex planning
Operating Costs
Main costs are machinist labor, raw materials, tooling, machine maintenance, rent, metrology and QA, software, and utilities. Returns depend on machine utilization, setup efficiency, and avoiding rework.
SBA Financing Estimator
Adjust the deal — see if it cash flows after debt service
Estimates only. Excludes owner compensation, capex, working capital draws, and taxes. Margin assumes average occupancy and volume. Actual SBA terms vary by lender and borrower profile.
Where to Buy
Marketplace for CNC shops, tool-and-die businesses, and fabrication operators
Listings for industrial machine shops and precision manufacturing businesses
Industry publication for CNC and precision-manufacturing operators
Acquisition Score
Scores margin (30), entry multiple (25), SBA market depth (20), category risk (15), and deal momentum (10). Higher = better acquisition candidate.
Quick Facts
- Category
- physical
- Difficulty
- 5/5
- Buy price
- $3.4M–$5.3M
Buyer's Toolkit
Essential tools to get started
Some links may be affiliate links. We only recommend tools we'd use ourselves.
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Largest business-for-sale marketplace in the US
SBA loans and business acquisition financing — get funded fast
ROBS financing — use retirement funds to buy a business tax-free
Bookkeeping for small business owners — hands-off financials
Some links may be affiliate links. We only recommend tools we'd use ourselves.
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