QuotedPartAnswers · Updated 2026-10-30
How do I quote when the customer supplies the material?
Price one of your own parts: Drop a STEP model or PDF drawing — about 90 seconds, no account.
Your part priced in about 90 seconds, no account.
Take the material line out of the quote, keep the markup on everything you still do, and add three things the buyer forgets: a receiving and inspection charge, an overage so a scrapped part doesn't stop the job, and a sentence saying the customer owns the scrap. On a 6061 bracket priced by our pricing engine, the 10-piece lot drops from $522.60 to $451.29 without material, so the buyer saves $71.31 and you lose only the markup you were earning on the stock.
See how QuotedPart connects to your workflow with its API, MCP server, autonomous quoting and shop-specific learning.
The arithmetic, on a real part
The bracket is a 4 × 2 × 0.5 in plate part with six holes, two tapped. At 10 pieces the engine's cost is $402.00, of which $54.85 is aluminum. A 30% markup on the whole cost makes the price $522.60. Without the material the cost is $347.15 and the price $451.29 before any handling charge.
At 100 pieces the material is $386.53 of a $1,898.00 cost, so the buyer's saving grows to $502.09. A shop that keeps its markup on a free-issue job isn't being greedy: the markup pays for the risk and overhead of the machining, not for the stock. A shop that gives a flat 30% off for free-issue material is giving away the markup on money it never spent.
| Quantity | Material in cost | Price with material | Price without | Buyer saves | Your margin on the stock |
|---|---|---|---|---|---|
| 10 | $54.85 | $522.60 | $451.29 | $71.31 | $16.46 |
| 100 | $386.53 | $2,467.00 | $1,964.91 | $502.09 | $115.96 |
What to add back
Receiving costs time even when the material is free: check the count, check the size, verify the cert matches the material called out, put it on a shelf. Twenty-five minutes at a $75 inspection rate is $31.25 per shipment (an example time, so use your own). Charge it per receipt, not per part, so a monthly blanket doesn't get a hidden fee.
Add a line for overage. If you need 10 pieces, ask for 12. The two extras cover a part that scraps on the first article, a drill that breaks in a tapped hole, or a bar with a hard spot. Without overage, one scrapped part means a stalled job while you wait for the customer to ship more stock, and you carry a half-finished lot.
Scrap, certs and wording
The cleanest rule: parts that scrap through your error cost you your labor and the customer's material, and you replace the stock only if you caused the loss. Write it down. A single sentence on the quote works: "Material furnished by customer; scrap from defective material or from customer drawing errors is at customer's cost. Shop will replace parts scrapped through shop error at shop's labor cost." Whatever you choose, state it before the PO, because the argument starts when the first ruined part is on the table.
Certs travel with the stock. If the customer supplies the bar, they supply the mill cert, and you note on the traveler and the C of C that the material was customer-furnished and its conformance is the customer's responsibility. Do not sign a material certification for stock you didn't buy. If the customer can't produce a cert and the print requires one, quote a test (outside lab) as its own line.
Ask your insurance agent whether customer property in your care is covered. Many general liability policies exclude it unless you add bailee coverage, and a fire or theft that destroys $20,000 of titanium bar isn't something to find out about afterward.
Free-issue price effect
- • Part: 4 × 2 × 0.5 in 6061 plate bracket, six holes (two 1/4-20 tapped), two setups; US starting rates and a 30% markup.
- • Material at the catalog's 6061 price per pound; no outside finish; 25 minutes of receiving at $75/h.
| Quantity | Machine and labor cost | Price (no material) | Receiving charge | Total to the buyer |
|---|---|---|---|---|
| 10 | $347.15 | $451.29 | $31.25 | $482.54 |
| 100 | $1,511.47 | $1,964.91 | $31.25 | $1,996.16 |
Sources and limits
Claims are dated where they can change. Product calculations are examples from the stated inputs, not a promise about a customer's quote. Competitor wording is attributed to the source shown.
- Prices are from QuotedPart's pricing engine, US starting catalog, 30% markup; the 25-minute receiving time is an example, not an average.
Questions
Should I mark up material the customer supplies?
No, because you never bought it. You still carry its risk, so mark up your own labor and charge a receiving fee instead.
How much overage should I ask for?
For a small lot, two pieces or 10% whichever is more is a common starting point. Use more for hard-to-machine alloys, deep tapped holes or parts that scrap easily.
Price one of your own parts
Drop a PDF drawing or a STEP file. QuotedPart reads the print, measures the model and prices it in seconds, on default shop rates you can change.
Your STEP file or PDF drawingDrop a PDF drawing, a STEP file or both
Free. No account, no email. Priced at our default US rates until you set yours.
Related QuotedPart guides
Answers
Cost-plus versus value pricing for a job shop
Use cost-plus to protect the floor, then decide when schedule, risk or capability supports a different price; show the arithmetic.
Answers
How to quote a CNC machining job: a small shop's step-by-step method
Quote a CNC job as material + setup and programming per lot + minutes per part at your rates + outside services, then markup. A 6061 housing worked through: $687 for one, $68.46 each at 100.
Answers
A customer wants a cost breakdown of your machine-shop quote
Decide what to disclose, protect confidential methods and still give the buyer a useful scope and price explanation.
Answers
Anodize, plating and heat treat in a machining quote: lot charges, lead time, markup and freight
How to price outside processing: the finisher's lot minimum, per-piece price, invoice fees, days added to lead time, freight both ways and the markup that covers rework. Ten 6061 housings anodized: $125 lot charge on a $1,341 order.