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SIC Codes vs. NAICS Codes - What's the Difference?

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SIC Codes vs. NAICS Codes - What's the Difference?

The SIC codes were created by the U. Despite having been replaced, government agencies and companies still use the SIC standardized codes today for classifying the industry that companies belong to—by matching their business activity with like companies. The Standard Industrial Classification codes were intended to improve communication within the U. SIC codes were adopted in places outside the U.
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Search SIC Codes by Industry

Standard Industrial Classification abbreviated SIC is a system for classifying industries by a four-digit code that corresponds to a defined industry type. Established in the United States in , it is used by government agencies to classify industry areas. At the time of its creation, governmental agencies were beginning to collect industrial data for a variety of statistics. However, agencies defined industrial categories in different ways, making data comparison impossible.
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In other words, it assigns a four-digit code to classify a company into its relevant industries. There are different codes for agriculture, mining, oil, and natural gas in addition to telecommunication and banking. This allows the businesses to navigate through all the bureaucratic red tape as well as avail appropriate licensing.
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