Why Choosing the Correct Primary Industry NAICS Code Matters in Federal Contracting
NAICS codes can affect several areas of federal government contracting, including:
One of the biggest mistakes beginners make is treating a NAICS code as simply a number they need to enter into SAM.gov.
Your primary industry NAICS code should accurately describe the economic activities your business performs or intends to perform. They should also help you focus your research on opportunities that align with your capabilities.
NAICS codes can help you find opportunities, but the code alone does not guarantee eligibility or a contract award. Always read the solicitation and verify its requirements.
When selecting NAICS codes, distinguish between your primary business activity and any additional services or products your company provides.
Your primary code should generally represent your principal business activity. Additional codes may describe other legitimate business activities.
For example, suppose your company provides:
These activities may fall under different NAICS codes, depending on the specific work performed.
Rather than choosing one code simply because it appears frequently in solicitations, research each activity and select the classification that best describes the work.