A system of classifications called the North American Industry Classification System (NAICS) is used to categorize enterprises based on their economic activities. It is used by government organizations, academics, and companies to classify and examine industry-related data. The answer to the frequently asked question of whether a business can have two NAICS numbers is yes.
You are allowed to have more than one NAICS code, whether you are a corporation or a lone proprietor. It’s crucial to remember that the majority of your business activity should be represented by your principal NAICS code. The additional NAICS numbers should reflect the remaining pursuits that your company makes. Businesses that operate in numerous industries or engage in a variety of activities may find it helpful to have multiple NAICS codes.
You can edit your System for Award Management (SAM) profile by logging into your account and choosing the “Edit” button if you need to add an NAICS code. The relevant NAICS code for your business can then be added from there. For your company to be qualified for government contracts and awards, it’s critical to maintain an up-to-date SAM profile with appropriate NAICS codes. One of the biggest online retailers, Amazon, is classified as an electronic shopping and mail-order house, or NAICS code 454111. Businesses who conduct product sales via electronic channels like the internet or television are covered by this code. This code is the most appropriate for Amazon because online goods sales are its main line of business.
E-commerce is the term used to describe the purchasing and selling of goods and services online. It offers clients the convenience of purchasing from anywhere at any time while enabling businesses to reach a larger audience. E-commerce has grown in popularity over the past several years as more companies switch to online sales to stay competitive. Independent artists, writers, and performers would fall under the NAICS code 711510 if you work in the crafts sector. Businesses that produce and market original works of art, such as paintings, sculptures, and crafts, are covered by this code. For your company to be correctly classified and qualified for grants and government contracts, it is crucial to select the most precise NAICS code.
In conclusion, while a company may have several NAICS codes, the main code should encompass the majority of its operations. It’s simple and crucial to add an NAICS code to your SAM profile if you want to be eligible for federal funding and contracts. E-commerce, or the exchange of products and services over the internet, is something that Amazon does and is classified as under the NAICS code 454111 for electronic shopping and mail-order houses. Independent artists, writers, and performers should use the NAICS code 711510, which is appropriate for the crafts sector.