SeeBITDAOklahoma

Southern Machine Works, Inc.

Estimated valueMedium confidence
$4.9M
$2.6Mlikely range$6.7M
About 4.7× its yearly profit, typical for a company this size in its industry.
Revenue
$9.1M
a year
Profit (EBITDA)
$1.0M
11% of revenue
Employees
27
reported in 2020
Leadership
Frank Burch Sr.
Owner (acquired the company in 1974) · source · confirmed by 2 sources
Likely to sell

How we got $4.9M

Based on its 27 employees and its payroll, both reported for PPP in 2020 and brought up to date.

27 employees × $291K each$7.8M
PPP payroll ÷ payroll's usual share of revenue$8.2M
Shown toward the top of its range×1.14
Revenue$9.1M
× 11% profit margin$1.0M
× 4.7 sale multiple = value$4.9M

· Own this business? Correct these figures

Estimated value over time

▲ 40% since 2020
$0$2.8M$5.7M20202026

Today's estimate scaled by the headcount reported each year and that year's prices. A trend, not a record of past sale values.

What we know

PPP loan, 2020
No 401(k) filing
No reported financials
Company website
Owner named

Signs of a sale Likely to sell

  • In business 62 years (since 1964)
  • No family successor named on its website

From public records and the company's website, not a statement that it's for sale.

What they do

Southern Machine Works, Inc. is a precision CNC machining and contract manufacturing company in Duncan, OK that makes make-to-print components for aerospace, defense, weapons and commercial OEM customers.

Products & services
Precision CNC MachiningContract ManufacturingMillingTurningOther MachiningWelding & BrazingAssembly & FabricationLogistics & Supply ChainPrototyping / Short RunDFM consultingWire EDM & SinkerBroaching
Markets served
AerospaceDefenseWeaponsCommercialAerospace & AviationDefense & MilitaryWeapons & ArmamentsOther Industries
Certifications
AS9100DISO 9001:2015ITAR registeredSAM registered07 FFL LicenseeSOTCAGE Code: 5D6H0Certified HubZone Small Business

From the company's website. Industry: Machine shops & fabrication.

Customers & suppliers

Suppliers & brands

  • Mazak · brand it sells or installs

Compared with similar businesses nearby

BusinessEst. revenueEst. profitDistance
SOUTHERN MACHINE WORKS, INC.
this business
$9.1M$1.0M—
BF MACHINE SHOP INC
Duncan · 5 employees
$2.0M$287K1.6 mi
Cobb Engineering
Duncan
$1.0M$234K2.6 mi
VOIGHT MANUFACTURING LLC
Comanche · 5 employees
$1.7M$241K4.5 mi
MOWDY MACHINE INC
Duncan · 2 employees
$602K$111K6.3 mi
CANFIELD MACHINE, INC
Duncan · 2 employees
$719K$113K6.5 mi
3B INDUSTRIES, INC.
Comanche · 19 employees
$4.0M$518K8.2 mi

The full calculation

Employees reported to the SBA27
Revenue from headcount (employees × revenue per employee for companies this size)$7.8M
Revenue from PPP payroll (payroll ÷ payroll's share of revenue for companies this size)$8.2M
Estimate: the two combined (geometric mean)$9.1M
EBITDA margin (industry, adjusted for size)11%
EBITDA = revenue × margin$1.0M

Figures are shown toward the upper part of their range rather than at its middle.

Brought up to date assuming revenue has grown 8% a year since 2020, when the PPP figures were reported; included above.

Estimated value = EBITDA × typical sale multiple$4.9M
Multiple for this size and industry4.7×
Value range$2.6M – $6.7M
Revenue range$6.0M – $10.4M
EBITDA range$689K – $1.2M
Industry (NAICS)Machine Shops (332710)

EBITDA margin: from IRS tax returns of S corporations in this industry (2019–2022), adjusted for company size: smaller companies typically run higher margins. EBITDA here is after owners' salaries.

Benchmarks: US Economic Census 2022, OK. PPP loans were sized on 2019–2020 payroll, so figures reflect that period. These are statistical estimates, not reported financials. Full methodology

History & advisors

Founded 1964
“Established in 1964 and later acquired by Frank Burch Sr. in 1974, Southern Machine Works has flourished as a family-centric enterprise.”

Advisors

  • BankingBancFirstPPP / SBA lender

From the company's own website and public filings (DOL Form 5500, IRS Form 990, SBA). Roles are as stated there and may be out of date.

Banking relationships

BancFirst
PPP 2020, PPP 2021
All 7,048 borrowers →

From PPP and SBA loan records, which name the bank but not the individual banker.

PPP loans

ApprovedDrawAmountForgivenJobsLender
4/5/2020first$306K$308K26BancFirst
1/21/2021second$309K$310K27BancFirst

Public records

Matched to this business by name and address from public government data; a match can occasionally be wrong.

About Southern Machine Works, Inc.

Southern Machine Works, Inc. is a machine shops & fabrication company in Duncan, Oklahoma, in business since 1964. It is owned by Frank Burch Sr. (Owner (acquired the company in 1974)). Its estimated annual revenue is about $9.1M, with roughly $1.0M of EBITDA. It has about 27 employees. Its estimated business value is $4.9M (likely range $2.6M–$6.7M).

Common questions

Who owns Southern Machine Works, Inc.?
Southern Machine Works, Inc. is owned by Frank Burch Sr. (Owner (acquired the company in 1974)), according to public sources such as the company's website or filings.
How much revenue does Southern Machine Works, Inc. make?
SeeBITDA estimates Southern Machine Works, Inc.'s annual revenue at about $9.1M (likely between $6.0M and $10.4M), based on public records such as its PPP loan and retirement-plan filings, brought up to 2026.
What is Southern Machine Works, Inc. worth?
About $4.9M, roughly 4.7× its estimated EBITDA of $1.0M, typical for a machine shops & fabrication company its size. Likely range: $2.6M–$6.7M.
How many employees does Southern Machine Works, Inc. have?
About 27, as reported on its PPP loan.
When was Southern Machine Works, Inc. founded?
Southern Machine Works, Inc. has been in business since 1964.
Is Southern Machine Works, Inc. for sale?
There's no public listing, but it shows signs that often come before a sale: in business 62 years (since 1964); no family successor named on its website.