It's the standard for classifying business establishments and it groups them according to similarity in the processes used to produce goods or services.
All industries will have at least one associated NAICS code.
A complete and valid NAICS code contains six digits:
The 5-digit NAICS code is the level at which there is comparability in code and definitions for most of the NAICS sectors across the three countries participating in NAICS (the United States, Canada, and Mexico).
The 6-digit level allows for the United States, Canada, and Mexico to have country-specific detail.
As you can see, the description becomes more specific with each digit.
Many companies have diverse business activities. For example, General Mills manufactures products from cereal to ice cream, so it'll have several 6-digit NAICS codes to represent these different business activities.
Your product or service may fit into more than one industry, so you may have more than one NAICS code that describes it.
SIC is the Standard Industrial Classification system. NAICS replaced SIC in 1997. Other organizations and state/local agencies might continue to use the SIC for their own purposes.
To find SIC codes and their descriptions, visit the Occupational Safety & Health Administration (OSHA) website.
To learn more about the differences between the original 1997 NAICS and SIC codes, visit the NAICS website.
She's interested in starting a vegan, raw, fast-food restaurant. She wants to conduct some research to see what she's up against.
You're going to help Julia out by finding the industry code for fast-food restaurants.
To your right is the NAICS website.
What is the NAICS code for fast-food restaurants?
What is the name of the NAICS industry under which fast-food restaurants fall?
Which of the following is a characteristic of this industry?
Notice the variety of businesses that fall under Limited-Service Restaurants.
Which of the following is also considered a Limited-Service Restaurant?
Julia has also thought about making her restaurant buffet-style.
Under what NAICS code are buffets? (Note: You can find this information in the Cross-References section of the web page).
The first two digits in a NAICS code refer to the economic sector.
The first three digits refer to the economic subsector.
In order to find out which broader categories an industry belongs to, you can search for just the first two or three digits in a code.
Which economic subsector (first three digits) includes fast-food restaurants?
Which economic sector (first two digits) includes fast-food restaurants?
Congratulations! You've completed this tutorial.
If you need help finding NAICS codes for your particular industry, contact your library liaison (Jason Dewland or Cheryl Cuillier).
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