Tuesday, October 15, 2013

Code 34 : NAICS Code

NAICS stands for the North American Industry Classification System. It is a way to classify businesses into industries for the purposes of analyzing industries in relation to the entire economy. It is primarily used by governments and was adopted in 1997 to replace the Standard Industrial Classification system, also known as SIC.

A complete NAICS code consists of six digits, but may only be two digits long. The first two digits in a NAICS code designate the general business sector, with subsequent digits designating more specific subsectors of the main sector.
A business is classified into a NAICS code based on the primary business activity that the business does.
NAICS Code Lookup Table

Sector Description
11Agriculture, Forestry, Fishing and Hunting
48-49Transportation and Warehousing
52Finance and Insurance
53Real Estate and Rental and Leasing
54Professional, Scientific, and Technical Services
55Management of Companies and Enterprises
56Administrative and Support and Waste Management and Remediation Services
61Education Services
62Health Care and Social Assistance
71Arts, Entertainment, and Recreation
72Accommodation and Food Services
81Other Services (except Public Administration)
92Public Administration

The SIC (Standard Industrial Classification) code system is used by several US government agencies to classify types of businesses. Most notably the SIC code is used in company’s filings with the Securities and Exchange Commission and the Division of Corporate Finance.
The system was developed and put in place in 1937 and is currently being upgraded to the NAICS code system for many agencies. This is because the SIC code system only allows four digits for classification whereas the new NAICS system allows for six digits.
The structure of SIC codes includes three parts. The first 2 digits indicate the major group the company belongs to. Including the next digit allows even more specific classification into what are known as industry groups. And finally all four digits group companies into divisions.
SIC Code Lookup

You can perform a SIC code lookup at the NAICS website.
Code Description
01-09 Agriculture, Forestry & Fishing
10-14 Mining
15-17 Construction
20-39 Manufacturing
40-49 Transportation, Communications, Electric, Gas & Sanitary Services
50-51 Wholesale Trade
52-59 Retail Trade
60-67 Finance, Insurance & Real Estate
70-89 Services
91-99 Public Administration


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