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Mastering NAICS Codes: Your Key to Government Contracting

September 06, 2023•2 min read

As a former government procurement officer, I've witnessed firsthand how various codes were employed to acquire identical products or services. It often came down to the discretion of the contracting officer, highlighting the versatility of NAICS codes. In this blog, we'll explore what NAICS codes are, how small businesses can leverage them to sell to the US government, and why their adaptability is crucial for success.

Deciphering NAICS Codes

The NAICS is a standardized system designed to classify businesses based on their primary industry activities. These six-digit numerical codes play a pivotal role in categorizing diverse industries, providing a structured framework for government agencies and businesses alike.

Small Business Strategies with NAICS Codes

For small businesses seeking to navigate the labyrinthine world of government contracting, NAICS codes are indispensable. They serve as the compass guiding businesses to pinpoint relevant government contract opportunities. When registering on platforms like the System for Award Management (SAM), businesses must select the most appropriate NAICS codes that align with their core competencies. This ensures that government agencies can swiftly locate businesses offering the products or services they require.

Moreover, when a government agency releases a request for proposal (RFP) or solicitation, they specify the relevant NAICS code. Small businesses must align their capabilities with these codes to qualify for the contract. Thus, comprehending NAICS codes and strategically choosing them significantly enhances your chances of securing lucrative government contracts.

The Crucial Versatility of NAICS Codes

What makes NAICS codes especially valuable is their adaptability. As a former procurement officer, I've observed that various codes may be used to categorize the same product or service, depending on the contracting officer's discretion. This underscores the importance of thorough research and strategic decision-making when selecting NAICS codes.

This adaptability also allows small businesses to explore diverse avenues and pursue multiple NAICS codes if their offerings span across various sectors. This versatility enables them to cast a wider net and increase their chances of landing government contracts.

In conclusion, NAICS codes provide structure and clarity, making it easier for businesses to identify opportunities, tailor their marketing efforts, and align their capabilities with government needs. If you want to learn more about NAICS codes and how to sell to the US government check out DoD Contract Academy!

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Richard C. Howard, Lt Col (Ret)

Richard C. Howard is the founder of dodcontract.com, and government contracting advisor to companies of all sizes. He is the host of the "DoD Contract Academy" podcast, the leading defense procurement podcast and author of the Government Contracting Planner. Richard helps business owners and sales teams win lucrative government contracts. As a former military acquisitions officer, Richard oversaw $82B+ in DoD contracts and ran the award winning Kill Chain Integration Branch, which rapidly developed cutting edge technologies with Boston & Silicon Valley based companies, deploying completed systems to the warfighter in record time. Richard's clients have won over $300M in government prime & sub-contracts. He is the host of "DoD Contract Academy" which is ranked in the top 2% of all podcasts. Howard is the author of the "Government Contract Planner' and speaks extensively on the nuance of federal contracting strategy.

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