Last updated: March 2026

Buy a Machine Shop in Arlington, TX

TLDR: Machine shops in Arlington, TX trade at a median asking price of $1,090,000 with median cash flow around $303,513, implying a 3.5x multiple as of Q1 2026. SBA 7(a) financing covers up to 90% with a 10% equity injection structured as 5% cash plus a 5% seller note on standby. Regalis Capital recommends targeting shops with diversified customer bases and equipment under ten years old.

Why Arlington Machine Shops Attract Serious Buyers

Arlington sits in the heart of the Dallas-Fort Worth Metroplex, one of the most manufacturing-dense corridors in the South. The area supports aerospace supply chains, automotive production anchored by the GM Arlington Assembly plant, and a broad base of industrial contractors who need precision machining work regularly.

For a machine shop buyer, that industrial density matters. Contract shops in markets like Arlington tend to carry more stable revenue than shops in lighter industrial regions because there is consistent local demand for CNC milling, turning, and fabrication work.

Population of 394,769 with a median household income of $73,519 also signals a skilled labor pool. Finding machinists, operators, and shop managers is meaningfully easier here than in smaller Texas markets.

How Much Does a Machine Shop Cost in Arlington?

As of Q1 2026, machine shops listed for sale in Texas carry a median asking price of $1,090,000 and median cash flow of $303,513, reflecting a 3.5x average multiple. According to Regalis Capital's deal team, most SBA-eligible machine shop acquisitions in Texas price between $500K and $2M, with outliers on both ends driven by equipment asset value and contract concentration.

The listed price range runs from $69,999 to $6,500,000, which reflects how wide the spread is between a small one-person job shop and a full-service CNC house with multi-axis equipment and long-term contracts. Pay attention to what is driving that asking price: equipment book value, recurring contracts, or actual cash flow.

A 3.5x multiple on $303K in cash flow is a reasonable entry point. Anything under 3x on verified numbers is a good deal. Above 4.5x needs careful justification.

Deal Economics: What the Numbers Look Like

Below is a representative deal model for a machine shop acquisition in Arlington at median market pricing, based on Q1 2026 data and current SBA terms.

Item Amount
Asking Price $1,090,000
Annual Cash Flow $303,513
Implied Multiple 3.6x
SBA Loan (80%) $872,000
Seller Note (15%, full standby) $163,500
Buyer Equity Injection (5% cash + 5% standby note) $109,000
Approx. Annual Debt Service (10-yr, ~10.5%) $134,000
DSCR 2.3x

At a 2.3x DSCR, this deal clears the 2x target comfortably. The equity injection of $109,000 breaks down as roughly $54,500 in buyer cash and $54,500 in a seller note on full standby, meaning no payments on that note during the SBA loan term. Regalis Capital achieves full standby seller note terms on over 90% of its deals.

These are rough estimates based on market data. Actual terms depend on individual qualification and lender.

What to Look for When Buying a Machine Shop

Machine shops have a specific due diligence profile that is different from most service businesses. The physical assets are central to the business model, and they carry real acquisition risk if not verified properly.

Customer concentration is the first thing to check. A shop doing $300K in cash flow on two or three customers is far more exposed than one with fifteen active accounts. Ask for a customer revenue breakdown going back three years.

Equipment condition and age directly affects your post-close capital needs. CNC machines run $80K to $500K new. If the shop is running equipment from 2005 on heavy production cycles, budget for replacement within three to five years. Get an independent equipment appraisal before closing.

Operator dependency is common in small shops. If the owner is the primary programmer, the primary estimator, and the main customer contact, you are buying a job, not a business. Verify that shop operations can continue without the seller in place within 90 days.

Contracts vs. spot work affects revenue predictability. Shops with blanket purchase orders from aerospace or defense customers trade at a premium for a reason. Spot-work-only shops are viable but require more reserve capital for slow periods.

Based on Regalis Capital's analysis of recent acquisitions, machine shop buyers should budget 5% to 10% of the purchase price in working capital reserves post-close. Shops with aging equipment or high customer concentration typically sit at the higher end of that range. SBA lenders may require a working capital injection as part of deal approval, particularly for asset-heavy businesses.

Frequently Asked Questions

How much does it cost to buy a machine shop in Arlington, Texas?

As of Q1 2026, the median asking price for machine shops listed in Texas is $1,090,000. Arlington-area shops vary widely based on equipment assets and contract quality, with prices ranging from under $100K for small job shops to over $6M for full-service operations with long-term contracts.

Can I use SBA financing to buy a machine shop in Texas?

Yes. Machine shops are SBA 7(a) eligible as long as the business meets size standards and the buyer qualifies. The standard structure is 80% SBA loan, 15% seller note on full standby, and 5% buyer cash equity injection. Equipment-heavy deals may require an independent appraisal before lender approval.

What is a good DSCR for a machine shop acquisition?

Target a debt service coverage ratio of 2.0x or better. At the median Arlington market price of $1,090,000 and $303,513 in cash flow, a standard SBA structure produces approximately 2.3x DSCR, which is solid. Regalis Capital uses 1.5x as the floor, with synergies required to justify anything below 2.0x.

What is the biggest risk when buying a machine shop?

Customer concentration and equipment condition are the two most common deal-killers. A shop where one customer represents more than 40% of revenue creates significant post-close exposure. Aging CNC equipment that needs replacement within two years can wipe out the first year of cash flow.

How long does it take to close a machine shop acquisition using SBA?

A typical SBA 7(a) acquisition closes in 60 to 90 days from signed letter of intent. Machine shops with significant equipment assets sometimes add two to three weeks for appraisal and lender review. Having a pre-qualified buyer and a clean seller package shortens that timeline meaningfully.

Buying a Machine Shop in Arlington? Let's Run the Numbers.

Regalis Capital works with buyers on business acquisitions across Texas, including machine shops in the DFW market. Our deal team reviews 120 to 150 opportunities per week and handles sourcing, diligence, financing, and negotiation end to end.

If you are evaluating a specific shop or want to understand what a deal like this would look like for your situation, start with a free deal assessment.

Start your deal assessment at Regalis Capital

Common Questions

How much does it cost to buy a machine shop in Arlington, Texas?

As of Q1 2026, the median asking price for machine shops listed in Texas is $1,090,000. Arlington-area shops vary widely based on equipment assets and contract quality, with prices ranging from under $100K for small job shops to over $6M for full-service operations with long-term contracts.

Can I use SBA financing to buy a machine shop in Texas?

Yes. Machine shops are SBA 7(a) eligible as long as the business meets size standards and the buyer qualifies. The standard structure is 80% SBA loan, 15% seller note on full standby, and 5% buyer cash equity injection. Equipment-heavy deals may require an independent appraisal before lender approval.

What is a good DSCR for a machine shop acquisition?

Target a debt service coverage ratio of 2.0x or better. At the median Arlington market price of $1,090,000 and $303,513 in cash flow, a standard SBA structure produces approximately 2.3x DSCR, which is solid. Regalis Capital uses 1.5x as the floor, with synergies required to justify anything below 2.0x.

What is the biggest risk when buying a machine shop?

Customer concentration and equipment condition are the two most common deal-killers. A shop where one customer represents more than 40% of revenue creates significant post-close exposure. Aging CNC equipment that needs replacement within two years can wipe out the first year of cash flow.

How long does it take to close a machine shop acquisition using SBA?

A typical SBA 7(a) acquisition closes in 60 to 90 days from signed letter of intent. Machine shops with significant equipment assets sometimes add two to three weeks for appraisal and lender review. Having a pre-qualified buyer and a clean seller package shortens that timeline meaningfully.

Note: Deal economics, pricing, and cash flow figures referenced on this page are estimates based on aggregated listing data and general SBA acquisition math. Actual deal terms vary by business, market conditions, and lender requirements. This content is informational only and does not constitute financial advice.

Evaluating a machine shop acquisition in Arlington? Regalis Capital's deal team handles sourcing, diligence, and SBA financing end to end. Start with a free deal assessment.

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