If you're looking at government contracts for the first time, you'll see "NAICS code" everywhere. Every solicitation has one. Every SAM.gov search lets you filter by one. Your business profile asks for them. But what are they, and why should you care?
NAICS stands for North American Industry Classification System. It's a 6-digit number that tells the government what industry your business is in. Think of it as a ZIP code for your type of work.
When a government agency posts a contract, they assign a NAICS code to it. When you search for contracts, you can filter by your NAICS codes to find work that matches your capabilities.
NAICS codes are how the government categorizes what kind of work a contract is for. If you know your NAICS codes, you can find contracts that are specifically meant for businesses like yours.
NAICS codes have a hierarchy — from broad to specific:
| Digits | Level | Example |
|---|---|---|
54 | Sector | Professional, Scientific & Technical Services |
541 | Subsector | Professional, Scientific & Technical Services |
5415 | Industry Group | Computer Systems Design & Related Services |
54151 | Industry | Computer Systems Design & Related Services |
541511 | National Industry | Custom Computer Programming Services |
Most government contracts use the full 6-digit code. When you search on FedScanner, you can use any level — search 541 to see all professional services, or 541511 to see only custom programming.
If you're a cleaning company (NAICS 561720) and you search without a NAICS filter, you'll wade through thousands of IT contracts, construction bids, and medical supply orders. Your NAICS code narrows the field to contracts meant for your industry.
The SBA assigns a "size standard" to each NAICS code — usually a revenue threshold or employee count. If your business falls below that threshold for your NAICS code, you qualify as a "small business" for that type of work. This matters because:
When you register your business on SAM.gov (required to bid on federal contracts), you list the NAICS codes that describe your work. This is how agencies find you when they're searching for capable vendors.
| Code | Industry | Size Standard |
|---|---|---|
541511 | Custom Computer Programming | $34M revenue |
541512 | Computer Systems Design | $34M revenue |
236220 | Commercial Building Construction | $45M revenue |
561720 | Janitorial Services | $22M revenue |
561612 | Security Guards & Patrol Services | $29M revenue |
484110 | General Freight Trucking, Local | $34M revenue |
541611 | Administrative Management Consulting | $24.5M revenue |
238220 | Plumbing, Heating & AC Contractors | $19M revenue |
561730 | Landscaping Services | $9.5M revenue |
722310 | Food Service Contractors | $34M revenue |
Size standards are updated periodically by the SBA. Check sba.gov/size-standards for current thresholds.
Many small businesses register with just one NAICS code and miss contracts listed under related codes. An IT consulting firm should register under 541511, 541512, 541519, and 541611 at minimum. More codes = more opportunities in your search results.
FedScanner makes it easy to search by NAICS code:
Search thousands of active federal contracts and grants filtered by your industry. Free — no account needed.
Search Contracts NowYes — and you should. Most businesses register 3-8 NAICS codes on SAM.gov. You can bid on any contract regardless of your registered codes, but having the right codes helps agencies find you and helps you find relevant opportunities.
You can still bid on it. NAICS codes on contracts are for classification, not eligibility. However, the size standard for that NAICS code will be used to determine if you qualify as a small business for that specific contract.
The NAICS system is updated every 5 years (last updated 2022). Changes are usually minor — codes split, merge, or get new descriptions. The core structure stays stable.
NAICS codes classify your business industry. PSC (Product and Service Codes) classify what the government is buying. A contract might have NAICS 541511 (your industry: custom programming) and PSC D301 (what they're buying: IT facility operations). Both are useful for search, but NAICS is what you register under.