Answered By: Coleen Neary Last Updated: Oct 02, 2019 Views: 3086
Standard Industrial Classification (SIC) codes and North American Industry Classification System (NAICS) codes are numerical classification systems created by the United States government. These systems are used to group/classify similar companies into industries for the purposes of collecting, analyzing, and publishing statistical data related to the U.S. business economy.
What is the difference between SIC and NAICS?
The SIC system was originally developed in the 1930s and was last updated in 1987. The NAICS system was first released in 2002 and last updated in 2017. While NAICS has "officially" replaced SIC, many business directories and databases still use one or both of the systems. Therefore, it is important to know about both SIC and NAICS.
- SIC codes consist of four digit numbers that apply to a company based on the type of products or services it produces. An example of an SIC Code is:
5812 = Eating Places
- The North American Industry Classification System (NAICS) employs six digits to allow for greater specificity for classifying an industry. An example of a NAICS Code is:
722110 = Full Service Restaurants
How NAICS and SIC codes used?
You can use these codes to find information about industries in business databases and directories. Use the codes to:
- Identify the lines of business of a company
- Identify competitors in the industry
- Locate industry ratios to compare with the company's ratios
- Generate listings of companies within an industry
How Do I Find SIC and NAICS Codes? Here are two ways to find SIC and NAICS Codes:
Search the official government SIC and NAICS manuals online to locate codes and industry descriptions.
Use the search box to find an NAICS code by keyword. Or, click the link to a specific NAICS manual (2012, 2007 or 2002) to drill-down to a NAICS Code by industry sector.
Use the search box to search the SIC manual (1987) by keyword. Or, click the link to the SIC manual or drill-down to a SIC code by division and group