What is a NAICS code?
The North American Industry Classification System, or NAICS, is the standard federal statistical agencies use to classify business establishments by industry. The system is hierarchical: 2-digit sectors divide into progressively narrower subsectors, industry groups, industries, and 6-digit national industries.
In federal contracting, the contracting officer assigns a NAICS code and corresponding SBA size standard to a solicitation, contract, task order, or delivery order under FAR 19.102. The selected code should describe the principal purpose of the supply or service being acquired.
Solicitation NAICS vs. an entity's SAM codes
A solicitation or award NAICS code describes the acquisition. An entity can separately list multiple NAICS codes in its SAM registration to describe industries in which it seeks work. Those asserted codes do not mean the entity has received an award in every listed industry.
Observed award NAICS codes show how agencies classified work actually awarded to that UEI. Comparing asserted registration codes with observed award codes separates business positioning from award history.
NAICS codes and small business size standards
The SBA establishes a size standard for each NAICS industry, generally based on average annual receipts or number of employees. The code assigned to a solicitation determines which size standard applies to a concern's representation for that acquisition.
FAR 19.102 directs the contracting officer to classify the principal purpose of the acquisition and apply the size standard in effect when the solicitation is issued. The contracting officer's NAICS designation can be appealed under the applicable procedures.
NAICS code vs. PSC code
NAICS classifies the industry associated with the acquisition. A Product Service Code classifies the product or service the government bought in a specific contract action. The two codes answer related but different questions.
For example, a technology contractor may receive awards under a computer-systems NAICS code while the actions carry several PSCs for software, support, telecommunications, or research. A contractor's federal footprint is clearer when both are reviewed.
How this registry uses NAICS codes
federal.contractors displays NAICS codes reported in SAM registration data and in observed prime awards without treating them as interchangeable. Browse pages group entities by observed primary award NAICS, while individual profiles show the available classification and award context with source dates.
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