The United States, Canada, and Mexico utilize the North American Industry Classification System (NAICS) to categorize firms based on their economic activity. Governmental organizations, companies, and researchers all use the system to examine and contrast economic data. Money service businesses are classified under NAICS number 522320.
Financial companies known as money service businesses (MSBs) provide services like money transfers, currency exchange, and check cashing. These companies must abide by anti-money laundering (AML) and counter-terrorism financing (CTF) laws and are governed by the Financial Crimes Enforcement Network (FinCEN).
Businesses that offer non-bank financial services like money transfers, check cashing, and currency exchange fall under the NAICS code 522320. The rule also applies to companies that offer small- and medium-sized businesses and consumers financial services including tax preparation and payday financing.
Management consulting services, on the other hand, are designated by the NAICS number 541611. This code covers companies that offer guidance and support to corporations and organizations in areas like organizational design, strategic planning, and performance enhancement. Business activities involving additional financial investment are covered by the 523900 code. Businesses that offer portfolio management, investment counseling, and other financial services are covered by this code.
The U.S. Census Bureau’s NAICS search tool can be used to find a company’s NAICS code. The search engine will offer a list of potential NAICS codes when you enter a word or phrase that describes the company’s main line of business.
Fintech and NAICS are closely related since fintech businesses are frequently categorized using the same codes as conventional financial services businesses. However, as the fintech sector develops further, new NAICS codes might be required to properly categorize these creative companies.
In conclusion, 522320 is the NAICS code for the money service industry. This classification system aids in the comparison and analysis of economic data, thus it is crucial for MSBs to comprehend it and abide by it. Companies can use the NAICS search tool to locate their code and confirm that they are properly categorized. It will be interesting to see how NAICS codes change as the fintech sector expands to include these cutting-edge companies.
A type of economic activity known as “depository credit intermediation” entails taking deposits from clients and giving loans or credit to other customers. This covers practices like commercial banking, savings institutions, credit unions, and other businesses that help money move between savers and borrowers. It is one of the NAICS codes for depository and non-depository credit intermediation industries.
The real estate NAICS code is 531320. This code is used to categorize companies whose main activities involve renting or leasing real estate to other people, managing real estate on behalf of others, buying, selling, or appraising real estate on their behalf, and/or offering other real estate-related services like escrow or title services.