Running a machine shop isn’t just about cutting chips—it’s about managing the numbers that make the whole operation possible. In this Machine Shop MBA episode of MakingChips, the team sits down with Jon Hughes of CLA to tackle one of the most overlooked yet critical parts of shop ownership: financial strategy.
Many shop leaders rise through the ranks of the shop floor without formal financial training. The books often become “just compliance”—something you do because you have to file taxes. But as Jon makes clear, your financial systems can be far more than compliance—they can be a competitive advantage. From managing cash flow to planning for growth and capital expenditures, the way you handle money directly impacts your ability to survive downturns, seize opportunities, and build wealth.
In this episode, we dig into why cash flow is king, what “working capital” really means for a shop, and how to navigate customer payment terms that often feel stacked against smaller manufacturers. They also explore practical strategies for budgeting, forecasting, and job costing—ensuring that every hour and every order drives long-term profitability.
Packed with stories, humor, and battle-tested advice, this episode equips shop owners with the knowledge they need to turn finance into a weapon rather than a weakness. Whether you’re just trying to make payroll or planning your long-term exit, these insights will help you keep making chips—and making money.