7224 - Drinking Places (Alcoholic Beverages)
If you're involved in the food and beverage industry or considering a business that serves alcoholic drinks, understanding NAICS Code 7224 is essential. This code helps classify establishments primarily engaged in preparing and serving alcoholic beverages for immediate consumption, making it critical for business registration, government contracting, and market research.
What is NAICS Code 7224?
NAICS Code 7224 - Drinking Places (Alcoholic Beverages) covers businesses that primarily prepare and serve alcoholic beverages for customers to consume on site. These establishments provide not only drinks but also a vibrant social atmosphere, often accompanied by entertainment.
Sector: Accommodation and Food Services
Drinking places fall under the broader Accommodation and Food Services sector, encompassing businesses dedicated to hospitality and foodservice.
Key Business Activities Under NAICS 7224
Here are some of the typical business types and activities included in this industry:
- Preparation and serving of alcoholic drinks like beer, wine, and cocktails
- Social gathering spots for patrons to relax and enjoy beverages
- Providing entertainment such as live music, karaoke, or televised sports
- Operating bars, pubs, taverns, and similar venues
Examples of Common Business Types
- Bars
- Pubs
- Taverns
- Cocktail lounges
- Nightclubs focused on alcohol consumption
NAICS Code 7224 Size Standards
To qualify for small business status under NAICS 7224, the U.S. Small Business Administration (SBA) sets size standards based on annual revenue. As of the latest update:
- Size Standard: $8.0 million in average annual receipts
This threshold determines eligibility for small business programs and government contracts.
Detailed NAICS Code 7224 Information
| NAICS Code | Title | Description | Sector | Size Standard (Receipts) | Typical Businesses |
|---|---|---|---|---|---|
| 7224 | Drinking Places (Alcoholic Beverages) | Establishments primarily engaged in preparing and serving alcoholic beverages for immediate consumption. | Accommodation and Food Services | $8.0 million | Bars, pubs, taverns, cocktail lounges |
Frequently Asked Questions (FAQs) About NAICS Code 7224
Q1: Can a nightclub that serves food fall under NAICS 7224?
A1: If the primary business activity is serving alcoholic beverages for immediate consumption, it qualifies under NAICS 7224, even if food is served. If food service becomes the primary activity, a different NAICS code may apply.
Q2: Does NAICS 7224 include wineries or breweries?
A2: No. Wineries and breweries are classified under manufacturing codes because they produce alcoholic beverages rather than primarily serving them for on-site consumption.
Q3: Why is knowing your NAICS code important?
A3: NAICS codes are key for business classification in government procurement, tax filings, industry analysis, and applying for small business benefits.
Q4: Is live entertainment included in NAICS 7224 activities?
A4: Yes, live entertainment often complements bars and taverns, enhancing the patron’s experience, but it's not the primary activity.
Conclusion
Understanding NAICS Code 7224 – Drinking Places (Alcoholic Beverages) is crucial for businesses focused on serving alcoholic drinks in a social setting. It defines your industry classification within the Accommodation and Food Services sector and impacts eligibility for government contracting and small business programs. Whether you own a bar, pub, or tavern, familiarizing yourself with this code helps streamline your business operations and compliance.
Keywords: NAICS 7224, Drinking Places, Alcoholic Beverages, Bars, Pubs, Taverns, Accommodation and Food Services, Small Business Size Standards, NAICS Code Definition
