Ray Engine Inc. – Turnkey Engine Rebuilding & Precision Machining Business – Tyler, Texas
Established in 1996, Ray Engine Inc. is a highly respected custom engine rebuilding and precision machining business located in Tyler, Texas. This nearly 30-year operation specializes in gasoline, and diesel engine rebuilds, cylinder head porting, crankshaft grinding, block boring/honing, and performance builds for automotive, agricultural, industrial, marine, and racing customers across East Texas.

Financial Performance (2021–2025):
-5-Year Average Revenue: ~$990,000
-5-Year Average Seller’s Discretionary Earnings (SDE): $148,124
-5-Year Average EBITDA: $17,995
-2025 Revenue: $930,728 with Normalized SDE of $172,969
-Average Gross Margin: ~31.6%
-No long-term debt

Key Business Assets Included in the $660,000 Purchase Price:
-A+ BBB accreditation since 1997 with exceptional customer trust and zero complaints
-Over 3,500 unique customers (2020–2025) with strong repeat and referral business
-Skilled team of 10 employees with 250+ years of combined experience
-Extensive specialized equipment with a current used/market value of approximately $153,000
-New parts inventory included at cost (approximate wholesale value $108,000)
-All used engine block, head, and crank cores — including many rare and high-demand items — transfer with the business at no additional cost
-On-site partnership with Tyler Engine Balancing for precision services

Real Estate (Sold Separately):
Professionally appraised at $825,000 (May 2026). The 1.5-acre property with two buildings totaling 13,530 sq ft is available for purchase or long-term lease.

Competitive Advantages:
-Nearly three decades of established reputation and customer relationships
-Comprehensive in-house capabilities for complete engine work
-Rare and hard-to-source inventory of engine cores
-Turnkey operation with an experienced, long-tenured workforce

Growth Opportunities:
-Launch remanufactured engine and performance parts lines using the included core inventory
-Develop e-commerce and online quoting for national reach
-Expand B2B partnerships with shops and fleets
-Geographic expansion into Dallas/Fort Worth and beyond
-CNC equipment upgrades and digital marketing to increase throughput and margins

Owner Retirement Sale:
Seller offers a comprehensive 6–12-month transition period including hands-on training, customer introductions, and operational knowledge transfer. 5% seller financing available to support qualified buyers’ SBA loan with 10% down.

Ideal for existing machine shops seeking expansion, diesel or performance shops wanting in-house capabilities, or qualified technicians ready for a turnkey operation in the stable East Texas market.