SIC Codes Definition

Short Definition

Standard Industrial Classification (SIC) codes are four-digit numbers that allow the government to efficiently categorize businesses according to industry types.

Expanded Definition

SIC codes are used by the IRS, U.S. Census Bureau, and other organizations. (Sometimes the more recent North American Industrial Classification System (NAICS) six-digit codes are required.) A small business may need their SIC code for bids or other paperwork. They also can help business owners locate potential customers or collaborators. The government uses them for tracking business trends or to judge if a business qualifies for a particular business opportunity.

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