Buying a cabinet and millwork shop in Florida

These shops build kitchen and bathroom cabinets, closets, countertops, built-ins, architectural millwork (trim, paneling, doors), store fixtures and custom furniture. Many also install what they build. In Florida a lot of the work comes from homebuilders, remodelers, condo renovations, custom homes, and commercial contractors fitting out offices, restaurants and stores.

Jobs are quoted from drawings and paid in stages: a deposit, progress payments, and a final payment after installation. Builders and contractors often send work for every house or unit they build. That work can be steady, but it rises and falls with construction, and cash flow depends on how fast builders pay. Homeowner work usually earns better margins but takes more selling and design time.

You'd be buying the shop and its machines (CNC routers, edgebanders, panel saws, spray booths), design software, trucks, and a customer list of builders and designers. Staff include designers and estimators, cabinetmakers, CNC operators, finishers and installers. Skilled cabinetmakers and installers are hard to find, and the owner often does the selling and estimating personally.

• Repeat builders and contractors who pay on fair terms, plus some homeowner work for margin.
• A CNC router and design software that turn drawings into cut lists quickly, which saves labor on every job.
• Estimates based on what past jobs actually cost, so prices cover real hours and material.
• A shop lead and installers who don't need the owner on site.
• Signed jobs lined up for several weeks or months.
• Good warranty records and few callbacks after installation.
• A clean, well-ventilated shop with dust collection and a proper spray booth.
• Relationships with designers and architects who specify the shop's work on their projects.
• A showroom or portfolio that helps homeowners say yes.

Building cabinets needs no state license, and Florida bars local governments from requiring one for cabinetry (section 489.117(4), Florida Statutes). Building permits can still apply, and any plumbing, electrical or structural work that comes with an installation needs the right licensed contractor.

The federal rule that matters most is the EPA's formaldehyde standard for composite wood (TSCA Title VI, 40 CFR part 770). A shop that builds finished goods from plywood, particleboard or MDF must use certified compliant panels, keep purchase records for three years, and label each finished good (or its box) with the shop's name, the month and year made, and "TSCA Title VI compliant." Since March 22, 2024, a shop that glues wood veneer onto particleboard, MDF or veneer-core panels is treated as a hardwood plywood producer, which means third-party certification and testing. The exception is a shop that uses phenol-formaldehyde or no-added-formaldehyde glue on a compliant core and keeps records proving it.

Spray finishing and solvent waste can bring hazardous waste rules and, for larger operations, air permits from the Department of Environmental Protection (DEP). A sale normally means sending DEP an updated EPA ID notification.

• How much depends on the biggest customers, especially one or two builders whose pace could slow when the housing market cools.
• Money owed to the shop: builder payment terms, slow payers, and any liens filed to get paid.
• Job costing on recent jobs: estimated versus actual hours and material.
• Machine condition, especially the CNC router and edgebander, with service records.
• Warranty claims and callbacks, and what they cost to fix.
• Formaldehyde compliance paperwork and labels, and supplier statements for the panels in stock.
• The finishes the shop sprays, how it disposes of solvent waste, and any DEP permits or notifications.
• The building: electrical service, dust collection, fire protection, spray booth and lease terms. Wood dust and finishes are a real fire risk, so ask about inspections.
• Deposits already collected for jobs not yet built, which you'll be expected to honor.

• Which builders or contractors give you the most work, and how long have they been with you?
• Who estimates and designs jobs today?
• How far ahead are you booked?
• How often do you get callbacks, and what causes them?
• How do you handle formaldehyde paperwork and labels, and do you glue veneer onto panels yourselves?
• Who runs the shop floor when you're with customers?
• What equipment would you buy next?