13 C.F.R. § 121.107
How does SBA determine a concern's “primary industry”?
In determining the primary industry in which a concern or a concern combined with its affiliates is engaged, SBA considers the distribution of receipts, employees and costs of doing business among the different industries in which business operations occurred for the most recently completed fiscal year. SBA may also consider other factors, such as the distribution of patents, contract awards, and assets.
Notes of Decisions
Cited in 5
cases (3 in the last 5 years), 1999–2025 · leading case: DSE, Inc. v. United States, 169 F.3d 21 (D.C. Cir. 1999).
DSE, Inc. v. United States, 169 F.3d 21 (D.C. Cir. 1999). “See 13 C.F.R. §§ 121.107 , 121.201. The SBA regulations grant initiating authority to agency contracting officers, directing them to select the appropriate SIC code by considering which description of activity best describes the subject matter of the procurement.”
Diversified Maint. Sys., Inc. v. United States, 93 Fed. Cl. 794 (Fed. Cl. 2010). “However, for those concerns whose “primary industry” (see 13 CFR 121.107) is service or construction (see 13 CFR 121.”
Shop Rite Inc v. U S Small Bus. Admin., No. 6:23-cv-00456 (W.D. La. Dec. 19, 2024). “813 CFR. § 121.107. 913 CER. § 121.103. 10 CARES Act, Pub.”
Shop Rite v. SBA, No. 25-30028 (5th Cir. Nov. 14, 2025). “13 C.F.R. § 121.107 . B The SBA was critical in providing relief to small businesses during the COVID-19 Pandemic.”
Momocon, LLC v. Small Bus. Admin., No. 2021-2386 (D.D.C. Dec. 22, 2023). “The SBA offered guidance about its approach in a notice inviting SVOG applications, where it explained that: Principal Business Activity is determined using a firm’s primary industry under the SBA size regulations (13 CFR 121.107) to define “principal business activity.”
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