A sawmill was established at Ty'n Rhos in 1868 and this building was erected to house a new water-powered circular saw in 1892. The water wheel to operate the machinery cost £15, but during the early 1930s an old model-T Ford car engine was installed as an alternative source of power.

John Williams and his sons, who owned the business, were highly regarded as makers of quality joinery work, furniture, carts and wagons. A paint shop which specialized in sign writing and spraying commercial vehicles was soon added, as was a petrol pump to serve the needs of the increasing number of customers who owned motor cars.