238 - Specialty Trade Contractors
When it comes to the construction industry, NAICS code 238 is a critical classification that defines Specialty Trade Contractors. Whether you're a business owner, government contractor, or industry professional, understanding this code can unlock numerous opportunities. This blog post dives deep into NAICS 238, highlighting its relevance, sector, typical business activities, and more.
What is NAICS Code 238?
NAICS code 238 represents Specialty Trade Contractors, a diverse group of businesses primarily engaged in specialized construction tasks. These contractors perform work that requires specific skills, techniques, or equipment — often as a subcontractor on larger construction projects.
Key Description:
Specialty Trade Contractors focus on specialized construction activities such as:
- Electrical work
- Plumbing
- Painting and wall covering
- HVAC installation
- Concrete work
- Carpentry
- Roofing
These trades demand a high level of expertise to ensure safety, quality, and compliance with building codes.
Sector Overview: Construction
NAICS 238 falls under the broader Construction sector. This sector encompasses the building of residential, commercial, and industrial properties, with specialty trade contractors playing a crucial role in completing specific sections of these projects.
Common Business Types under NAICS 238
Businesses classified under this code include:
- Electrical Contractors: Companies handling electrical system installations and repairs.
- Plumbing Contractors: Firms specializing in piping, water supply, and drainage systems.
- Painting and Wall Covering Contractors: Experts in interior/exterior painting, wallpaper application, and surface preparation.
- HVAC Contractors: Installing and maintaining heating, ventilation, and air conditioning systems.
- Concrete Contractors: Providing concrete pouring, finishing, and repair services.
- Roofing Contractors: Specializing in roof installation, maintenance, and repair.
Size Standards for NAICS Code 238
To qualify as a small business under NAICS 238, the Small Business Administration (SBA) sets size standards generally based on average annual receipts or number of employees:
- Size Standard: Typically, firms in this sector must not exceed $16.5 million in average annual receipts to qualify as small.
- Size standards may vary slightly depending on the specific industry within code 238.
Meeting these standards is essential for eligibility in government contracting and other small business programs.
Examples of Specialty Trade Businesses under NAICS 238
- Lightning Electrical Services – Electrical contracting for commercial buildings.
- Precision Plumbing Co. – Plumbing installations and repairs for residential projects.
- ColorPro Painters – Specializing in residential and commercial painting.
- BrightHeat HVAC Solutions – Providing HVAC services for industrial facilities.
These examples illustrate the diversity and specialized nature of jobs encompassed by this NAICS code.
FAQs About NAICS Code 238 – Specialty Trade Contractors
Q1: What types of contracts are specialty trade contractors eligible for?
Specialty trade contractors can bid on a variety of government contracts related to construction, renovation, and maintenance projects that require their specific expertise.
Q2: Can a business perform multiple specialty trades under NAICS 238?
Yes, many companies provide multiple services, such as electrical and plumbing, but they must accurately list all applicable NAICS codes for compliance.
Q3: How does NAICS 238 affect licensing and certifications?
Businesses under this code typically require industry-specific licenses and certifications to ensure compliance with local regulations and safety standards.
Q4: How often are NAICS codes updated?
The NAICS system is updated every 5 years to reflect changes in industry trends. Contractors should stay current to ensure proper classification.
Q5: Why is knowing your NAICS code important for government contracting?
Proper NAICS classification ensures that your business can accurately identify opportunities and comply with requirements for small business certifications and subcontracting plans.
Conclusion
NAICS code 238 – Specialty Trade Contractors – plays a pivotal role in the construction sector, representing businesses with specialized skills crucial to project success. From electrical and plumbing to painting and roofing, these contractors are indispensable to the industry. Understanding the size standards and common business types under this code helps companies position themselves strategically for government contracts and commercial projects.
Whether you're a contractor aiming to grow or a client seeking qualified specialists, NAICS 238 is a key code to know in the construction world.
Boost your contracting success by mastering NAICS code 238 and positioning your specialty trade business for growth!
