The shop runs multi-axis CNC equipment on repeat production orders and short-run custom work. Real estate is included in the asking price. Customer concentration is meaningful and should be reviewed carefully.
Asking price
$2,350,000
Revenue (TTM)
$4,100,000
SDE
$720,000
EBITDA
$640,000
SDE multiple
3.26x
Cash-on-cash (unlevered)
30.6%
Recurring revenue
55.0%
Largest customer
31.0%
WhatBiz Score™ breakdown
Overall 62/100 — Fair. Each dimension is scored independently and weighted.
Profitability52
Seller's discretionary earnings are 17.6% of revenue.
Valuation52
Asking price is 3.26× SDE compared with a common small-business range of roughly 2×–4×.
Financial Health79
29 years of operating history with a 15.6% earnings margin.
Growth Potential46
Reported revenue trend of +6% year over year.
Market Outlook66
Category-level demand outlook based on WhatBiz industry model (sample data).
Owner Independence87
Business is described as managed with 24 employees.
Customer Concentration Risk35
Largest customer represents about 31% of revenue.
Financing Potential100
Seller indicates financing is available (about 10% seller-carried).
Scalability56
55% of revenue is recurring or contracted.
AI / Technology Disruption Risk75
Estimated exposure to automation and AI substitution in this category.
Valuation context
Comparable SDE multiples of 3.63x – 5.10x for Manufacturing produce an estimated range of $2,628,000 – $3,756,000.
●Recurring revenue:55% of revenue is recurring or contracted, which buyers pay a premium for.
●Management in place:A business that runs without daily owner labour is worth more to most buyers.
●Customer concentration:The largest customer at about 31% of revenue is a valuation risk.
●Operating history:29 years of history reduces perceived risk.
●Earnings size:Larger earnings attract more buyers and institutional capital, lifting multiples.
What's included
Building and land
CNC machining centres
Tooling and fixtures
Customer purchase orders
Growth opportunities
Add a second shift on existing equipment
Diversify beyond the top customer
Quote adjacent aerospace and medical work
Reason for sale
Ownership succession — no family successor.
Competition
Regional job shops; barriers include equipment capital and skilled machinists.
This is demo data provided for product demonstration. Figures are illustrative, are not verified, and are not an offer to sell a business. WhatBiz analysis is educational and is not financial, legal, tax or investment advice.