Setting Up and Running a Machine Shop Business

There are some one-machine shops where the total output is performed on one machine having unique properties such as the ability to perform very heavy work, or the ability to work at very high speeds with consequent savings in costs. Such machines are usually automatically controlled and expensive.

A machine shop is generally labor-intensive with a moderate investment of $7,000 to $10,000 per worker required. Total wages for the industry as a whole represent about 44 1 /2 percent of the total value
of the work performed in the industry.

The basic skill utilized in the labor force is that of the skilled machining worker.

Read "Machine Shop Job Work" a report on starting and running machine shops on job work basis  available on archive.org


Read also Running  a Machine Shop
F.H. Colvin and F.A. Stanley


They published large number of books on machining processes. See the big list of online books available of them maintained by Upenn Edu

http://onlinebooks.library.upenn.edu/webbin/book/lookupname?key=Colvin%2C%20Fred%20H.%20(Fred%20Herbert)%2C%201867-1965


An interesting business plan for machine shop in US
http://www.thefinanceresource.com/free_business_plans/free_machine_and_lathe_shop_business_plan.aspx


Approximate rates of machining in India in 2014
Given in Baja SAE India Competition
http://www.bajasaeindia.org/pdf/2014_Baja%20SAE%20India%20CostRules_Article%204.pdf

               Rs.
Lathe  100/hr
CNC   300/hr
Milling 125
Grinding 125
Gear cutting/shaping  250/hr
Gear Hobbing  300/hr


Materials

Mild Steel - 50/kg
Alloy Steel - 100
Aluminium - 250
Magnesium - 450
Titanium - 1000