CNC Machine Unit Manufacturing Shop How To Start, Cost, Raw Material, Profit, Plan, Idea | SkillsAndTech

SkillsandTech | July 5, 2021 |

CNC machine tools are a productive business with huge growth potential. Anyone who likes to operate and build machine tools can enjoy the fun of CNC machine tools.

CNC stands for Computer Numerical Control. We all know that CNC (Numerical Control) machine tools work in accordance with the instructions of the control unit (microcomputer), and the program data can be changed as needed.

Starting CNC machine tools in a crowded market with fierce competition can be a challenge for entrepreneurs. In this article, we have collected important detailed information about the CNC business to help you start and develop your CNC machining shop.

The business plan of the CNC machining workshop

What should the business plan of the CNC machining workshop be? You have found the perfect business idea and are ready to go further. Entrepreneurship is more than just registering in a country. These steps will ensure that your new business plan is thorough, registered correctly and in compliance with the law. …

The format of the business plan may be different: it is a full-size document and a few pages in a “thin” program that can fit on one page. When choosing an arrangement, only consider the purpose of the program; for example, banks or other lenders expect a complete strategy, although lean strategies are easier to update frequently.

Having a clear strategy is critical to your success as an entrepreneur. This way you can track the details of the organization and find some unknowns. Here are some important questions to consider:

The commercial potential of CNC machine tools

CNC machines are one of the most advanced technologies that make production easier; therefore, the CNC market is developing rapidly.

Nowadays, more and more advanced and improved technologies are used, such as providing high precision in a shorter time. The use of advanced technology reduces the cost of manufacturing components.

CNC machining is a small control unit that can be performed by two or three people; the growth rate of CNC machining depends on customer orders.

CNC machining business is a profitable business. With the use of computer technology, it is very important in manufacturing. It is usually difficult to make 3D parts, but it can be easily made on CNC machines.

CNC machine tools have the characteristics of high precision and high quality; CNC machine tools are used to eliminate instrument errors; the use of CNC machines shortens the time between design and production, which contributes to the growth of production, and CNC machines provide impossibility to use manpower High speed achieved.

This machine can be controlled by computer. High precision, high labor intensity, and well-made parts are the main factors that make CNC machine tools very efficient.

In summary, you can conclude that CNC machine tools are a profitable business.

The license and registration of CNC machine tools

  •  Company registration: You can establish a small and medium-sized CNC machine tool company as your own company or partnership.

If you start the business as a sole proprietorship, you must register your business as the owner.

To operate a business, you must register as a limited liability company (LLP) or Pvt. Limited company. At the Registry of Commerce (ROC).

  • GST registration-apply for a GST number. After applying the GST rules, all business owners must use this number.
  • Business license: obtain continuous license from local authority
  • Environmental certificate: CNC machine tool industry handles some hazardous materials that cause environmental pollution, so it needs to obtain NOC from the Pollution Control Board 5) MSME / SSI registration: registration Udyog aadhar and MSME register to obtain government services and benefits.
  • Brand: Use personal data symbols to protect your company’s brand.
  •  Placement permit: You need to get the approval of the state government to operate the machining workshop.
  •  Environmental certificate: CNC machining workshop produces a clean environmental certificate issued by the environmental protection committee of your state for parts that may cause pollution

The space requirements of CNC machine tools

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Site selection is a very important task in any enterprise. The CNC machine tool requires at least 2,000 square feet of space. Divide your area into different parts, for example:

  • Raw Material Storage
  • Working Area
  • Finished Material Storage
  • Packaging Area

Choose a location for a CNC machine with facilities such as water, electricity, and sewage, and look for a location that hardly needs to be changed.

Ensure that a three-phase power connection is used to operate the equipment.

CNC machining workshop should be easy to access; in addition, raw material suppliers need to be close to this location, which helps reduce transportation costs.

Looking for labor; you need a well-trained worker, so make sure you have access to workers.

Please note that clean areas help to make clean components or products.

After completing the location, please fill in all the documents required for the location and check the regulations of your state government.

The raw materials of CNC machine tools


Titanium has low density and high strength, high melting point, low conductivity and corrosion resistance, especially in seawater, making it a durable material.

Titanium is used in seals, bushings, bolts, studs and rivets in the aerospace industry.

Stainless steel:

stainless steel resists corrosion and stains when in contact with water.

stainless steel is widely used in construction and medical equipment manufacturing; it is also used in the mining of the house of senses to maintain product quality and brightness.

Alloy steel:

alloy steel with high strength, corrosion resistance and heat resistance.

alloy steel is very suitable for mining or automotive parts.

Aluminum alloy:

aluminum alloy is lighter and less flammable than aluminum alloy. It is used in aerodynamic structures. It is used in aerospace and medical equipment due to its light weight, corrosion resistance and high strength.

Non-ferrous metals:

Non-ferrous metals have the characteristics of corrosion resistance, non-magnetic, light weight and high conductivity, which are ideal for construction.

The skills and manpower of the CNC system

Learning/training: This is a special challenge in CNC engineering. As your business grows, you can expand, but you need to master manufacturing or methods

If you produce high-quality products in a shorter time, customers will come easily And keep in touch with

for a longer time so you have to find other things that have been used before perfection to open a new market.

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A CNC machine tool uses NC code called gcode, you have to practice your code to be

Qualified personnel (Work): If you are not familiar with Gcode, you can hire an expert to help you generate the code.

In addition to programming, there are some machine tasks, such as driving the machine, loading and unloading products, so this type of work requires employees.

The CNC production unit Machine list

  • 5-axis: CNC machining works with perpendicular axes and two rotary axes
  • 6-axis: CNC machining works with three perpendicular axes and three rotary axes
  • Lathes: produce 3D component/product by automatically program tool change
  • Milling: used for drilling and turning metals
  • Plasma Cutters: for cutting 2D shapes and molds using the plasma torch
  • Laser Cutters: cutting 2D shapes and molds using the laser instead of a plasma torch
  • Routers: used to cut a metal sheet in complex shape and prototype

Tools and software needed for CNC 

Tools-make sure your workshop has the tools needed for CNC machining. Various types of equipment: chucks, presses, 4-axis, accessories and other equipment are all available.

Program and software: The main job of CNC machining is to download the program; make sure that the correct G code program is loaded on your computer.

How to acquire customers for CNC business

Talk to your customers 

Focus on specific types of customers who will buy your product in the best quantity

Example: If your CNC machine tool specializes in the production of piston cylinders, please try to establish a relationship with the company that provides you with this product. You buy Low price department

Focusing on a market segment can help you make the most of your expertise; you can also provide your customers with the best quality products to win your trust.

Build a strong network

Always look for new and additional contacts, even if you have enough contacts, but make sure to complete the work on time

An excellent customer experience will bring success and provide customers at the right time High-quality products

Ready for new technology

Technology is developing every day; installation and training costs are high

Newly developed technology has a huge impact on manufacturing, making manufacturing easier and more accurate

So be prepared to accept new technology to beat the competition Competitor

Expand to meet demand

Multi-step process: Companies that provide two or more processing processes can usually save time and money, so customers prefer companies that only provide processing machines.

Promote your service

After you finish After the machining workshop, equipment, and skilled workers work, it’s time to accept work orders.

The advantage of using CNC machine tools is that it does not lose precision and accuracy, because it is calculated.

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Easy mass production of components, in newspapers Advertise online, use social media to promote your business, create your own website to connect with customers

Value Addition

CNC machine tools are essentially a multi-organizational process that includes work potential at every step.

The expansion potential of a store depends to a large extent on how many additional valuation steps it can take.

Franchise options.

If your goal is to start a CNC machining company, you may want to know if there is a great company with an affordable franchise that can make your life easier.

respond to your competitors.

In most environments, especially in times of economic uncertainty, monitoring your key competitors is an important practice.

Start adding variables.

Successful growth and business development do not depend on the scale of the products manufactured, but on the quality of the production process.

It is helpful to evaluate the products and services you provide to your customers and see if you can expand the coverage of these products and services.


Here, we have developed a complete business plan for the CNC machining shop. Therefore, if you have any questions about this business, please let us know. We will definitely answer your questions.

How to Start CNC Machine Unit Manufacturing Shop | SkillsAndTech

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