NAICS code
Also called: North American Industry Classification System
Updated
What is NAICS code?
A NAICS code is a six-digit industry code from the North American Industry Classification System. Contractors list the codes that describe their work in SAM.gov, and each federal solicitation is assigned one NAICS code, which sets the size standard a company must meet to count as small for that contract.
How NAICS codes are used in contracting
The Census Bureau publishes NAICS, which groups the economy into sectors, subsectors and six-digit industries. In federal contracting, the contracting officer assigns the one code that most accurately describes the principal purpose of the purchase (FAR 19.102), and the SBA size standard for that code decides whether you are small for that buy.
NAICS codes also drive search: contractors filter opportunities by their codes, agencies use them in market research, and SAM.gov registrations list them. A product or service code (PSC) describes what is being bought; NAICS describes the industry.
Choosing and using your codes
List the codes you can actually perform and prove, with your primary code first. Too few codes and you miss notices; too many and your capability statement looks unfocused.
Common mistakes: assuming you are small under every code (each has its own standard), not checking the code a solicitation uses before deciding to bid on a set-aside, and forgetting that a code can be challenged before the proposal due date. State and local buyers often use their own commodity codes instead of NAICS.
NAICS codes are revised every five years by the Census Bureau, most recently for 2022, and the SBA updates size standards on its own schedule, so a code or a size standard can change between pursuits. When a solicitation's code looks wrong for the work, raise it promptly: a NAICS code designation can be appealed to the SBA's Office of Hearings and Appeals within a short window after the solicitation is issued. Getting the code changed can make a set-aside open, or closed, to your company.
NAICS code in ProposalWorkspace
ProposalWorkspace filters federal opportunities with a hierarchical NAICS picker, weighs NAICS at 30 of 100 points in the business-profile match score, and lists open federal bids by NAICS code on public hub pages.
NAICS code: questions and answers
How many NAICS codes can a business have?
SAM.gov lets you list many codes, with one marked as primary. List the ones you can perform and support with experience.
Does the NAICS code on a solicitation matter if I am not bidding a set-aside?
Less, but it still signals the type of work, and some evaluations or subcontracting plans refer to it. For set-asides it decides eligibility.
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