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What Business To Start?


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A small CNC machine shop specializing in prototyping and short production runs. There are several industries that are in need of this kind of shop to sub out to, at least out here in the southwest. Firearms, custom boat manufacturers, military, speciality automotive shops, etc, etc, etc.

You can gross into the mid to high 6 figures running a small shop with just a couple of employees.

As the sales manager for a CNC machine shop, I agree with the "gross" part. It's the "net" that gets ya. :)

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Most machine shops, but not all, are designed to handle specific kind's of work. Maybe areospace work, or cutting gears, or custom wheels, or whatever. They are usually also setup to make large runs of parts. And example is a friend of mine has a small jobshop where he primarially makes shafts. He cuts them with splines, and keyways, for a select group of clients. Another example would be someone like Extreme Eng'ring. They are setup to make hammers, sears, and disconnectors. Its not that they couldn't make anything else its just that their whole shop is setup to do just that.

If I had the money I would setup a small CNC based shop specializing in design prototyping and smaller production run's. As an example, in the firearms business, you have a lot of comapnies that market various products of their own design. Most of the smaller shops don't make these parts themselves, they farm them out. This is also true of custom boat manufacturing, custom street rodding, racing, and various other industries.

The example of Extreme Eng'ring above is a perfect example. They own a huge market share in the industry for the products they make. No one shop sold enough it make it worthwhile to setup a CNC shop just to make one thing. But what if you took it just a small step forward and made not only hammers and sears, but also guide rods, comp's, magwells, bushings, pin sets, safeties, and whatever else your customer wanted, and to their spec's. And maybe offer to smaller shops machine cut checkering, CNC slide profiling, etc. Then add in gas caps, seat mounts, engine cover hinges, custom billet battery boxes for the boat industry, and maybe blower pulleys, billet air cleaner covers, billet shock mounts, etc, for the street rod business, maybe foot shifter's, air cleaners, fender mounts for the custom bike industry, and................Well you get the idea.

A good programmer and a couple of good machinist's and you would soon find yourself with more work then you could handle.

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In this area you can pick up a good used Haas (with some tooling) for about $25,000.00. Misc shop equipment will probably set you back another 20,000.00. A good CAD/CAM program another 5-8,000.00

And then all the little(?) things........I wouldn't try it with less then $100,000.00 in the bank.

Nebraskan, ya there can be a big difference between gross and net, thats why you have to keep it small. First thing I would do is fire all the managers.......lol

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Dear Competent Realtor: There are always exceptions. I just haven't seen too many yet. I have ONE (only ONE) estate agent I'll deal with here in town and she's a class act. Been doing her thing with class and grace for nearly 30 years and is, as they say, a "top producer" and sells only verrry upscale properties. As her personal photographer, boy, have I seen some nice homes!... but she also pays for her photos the moment she picks them up and never questions the bill, or anything. I enjoy working with her and have for several years.

Real estate agents have a tough job, even if they're NOT goofy. It's expensive to stay licensed, to advertise in multiple publications, to keep an online presence, to do the endless paperwork, to pay all the hidden fees to this person or that, to pay for the petrol with all the running around they do, and to keep their sanity in general. Some of them are just not cut out for the work, though, and THAT'S why they seem goofy--they're just in the wrong niche and should get out. The GOOD agents are simply well-placed and have found their niche and are good at it.

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A small CNC machine shop specializing in prototyping and short production runs. There are several industries that are in need of this kind of shop to sub out to, at least out here in the southwest. Firearms, custom boat manufacturers, military, speciality automotive shops, etc, etc, etc.

My friend did just that:

http://www.cleanspeedeng.com/index.htm

His site's a bit outdated but you'll get the idea. He has an mechanical engineering degree, so that helped. I visited him a couple weeks ago, and he has a first class shop.

be

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