NAICS 423610 Quarterly Industry Report
Electrical Apparatus and Equipment, Wiring Supplies, and Related Equip
Comprehensive industry research for valuation professionals, business owners, buyers, and lenders
NAICS Code: 423610Sector: Wholesale Trade (42)Updated: Q1 2026
About This Report
This Fair Market Value industry report for NAICS 423610 integrates data from the U.S. Census Bureau[5] economic surveys, Bureau of Labor Statistics[6] employment data, and SBA size standard publications[7]. Our research team tracks construction electrical spending, lighting market transitions, and power infrastructure investment to provide valuation context for electrical wholesale operations. Updated quarterly, each data point is traced to its originating government or institutional source.
Industry Snapshot
Key metrics for the electrical apparatus and equipment, wiring supplies, and related equip industry.
Industry Definition & Overview
Electrical Apparatus and Equipment, Wiring Supplies, and Related Equipment Merchant Wholesalers (NAICS 423610) encompasses establishments primarily engaged in the merchant wholesale distribution of electrical construction materials, wiring supplies, electric light fixtures, light bulbs, and electrical power equipment for the generation, transmission, distribution, or control of electric energy. These distributors purchase from manufacturers and resell to electrical contractors, utilities, industrial maintenance operations, and lighting showrooms.
Electrical distribution is a branch-intensive business where local inventory availability and delivery speed determine competitive success. Distributors stock wire, cable, conduit, circuit breakers, panel boards, transformers, switches, receptacles, connectors, lighting fixtures, and lamps across thousands of SKUs. According to the U.S. Census Bureau[5], this classification covers both construction electrical supplies and power generation and distribution equipment.
The industry has experienced consolidation as national distributors acquired regional independents to build nationwide branch networks. LED lighting adoption has shifted the product mix from frequent bulb replacement sales toward longer-lasting but higher-value LED fixtures and retrofit products. Solar panel and energy storage distribution have emerged as growth categories. Electrical distributors increasingly offer project management services, pre-fabrication of electrical assemblies, and energy auditing capabilities alongside traditional counter and delivery sales operations. E-commerce platforms have also become important ordering channels for contractors seeking rapid product availability and pricing information.
What's Included in This Industry
- Electrical wire and cable wholesale distribution
- Circuit breaker and panel board wholesale operations
- Electric light fixture wholesale distribution
- Conduit and raceway wholesale operations
- Transformer wholesale distribution
- LED lighting product wholesale operations
- Electrical connector and terminal wholesaling
- Power generation equipment wholesale distribution
- Solar panel and inverter wholesale operations
- Electrical switch and receptacle wholesale distribution
NAICS Classification Hierarchy
| Level | Description | Code |
|---|---|---|
| Sector | Wholesale Trade | 42 |
| Subsector | Merchant Wholesalers, Durable Goods | 423 |
| Industry Group | Household Appliances and Electrical and Electronic Goods Merchant Wholesalers | 4236 |
| NAICS Industry | Electrical Apparatus and Equipment, Wiring Supplies, and Related Equipment Merchant Wholesalers | 42361 |
| National Industry | Electrical Apparatus and Equipment, Wiring Supplies, and Related Equipment Merchant Wholesalers | 423610 |
Related NAICS Codes
| Code | Description | Relationship |
|---|---|---|
| 423620 | Household Appliances, Electric Housewares, and Consumer Electronics Merchant Wholesalers | Household appliance merchant wholesalers distribute consumer electronics and home appliances rather than the commercial electrical supplies covered here |
| 423690 | Other Electronic Parts and Equipment Merchant Wholesalers | Other electronic parts merchant wholesalers distribute discrete electronic components rather than the electrical construction materials in this classification |
| 335311 | Power, Distribution, and Specialty Transformer Manufacturing | Power, distribution, and specialty transformer manufacturing produces transformers distributed through electrical wholesale channels to utilities and contractors |
| 335313 | Switchgear and Switchboard Apparatus Manufacturing | Switchgear and switchboard apparatus manufacturing produces electrical distribution equipment distributed through wholesale channels to construction projects |
| 335131 | Residential Electric Lighting Fixture Manufacturing | Residential electric lighting fixture manufacturing produces light fixtures and LED products distributed through electrical wholesale channels to contractors |
Geographic Concentration
Top states by share of national establishments.
| # | State | % Est. | Total Est. |
|---|---|---|---|
| 1 | California | 13.3% | 1,795 |
| 2 | Texas | 9.1% | 1,221 |
| 3 | Florida | 8.1% | 1,085 |
| 4 | New York | 5.3% | 708 |
| 5 | Illinois | 4.0% | 533 |
| 6 | Georgia | 3.6% | 488 |
| 7 | Ohio | 3.5% | 476 |
| 8 | North Carolina | 3.3% | 444 |
| 9 | Pennsylvania | 3.3% | 441 |
| 10 | New Jersey | 2.8% | 380 |
% Of Establishments
0%
13%
Source: County Business Patterns, U.S. Census Bureau[3]
SBA Lending Summary
568
Total SBA Loans
$582.6M
Total Loan Volume
$1.0M
Average Loan Size
10 yrs
Average Loan Term
10.30%
Average Interest Rate
5,768
Jobs Supported
Source: SBA 7(a) Program Data, U.S. Small Business Administration — FY 2025[4]
Key Insight: The SBA[7] classifies Electrical Apparatus and Equipment Merchant Wholesalers under NAICS 423610 with a size standard of 200 employees. While several large national distributors dominate market share, thousands of independent electrical distributors operate below the SBA ceiling. Qualifying firms can access SBA lending programs[8] for branch expansion, inventory financing, delivery fleet investments, and working capital to support the high-SKU inventory demands of electrical supply distribution. Eligible businesses can access SBA 7(a) loans[9] for working capital, equipment, and acquisition financing, while 504 loans[10] support major fixed-asset purchases including real estate and heavy machinery.
Top SBA Lenders
| # | Lender | Loans | Volume | Avg Loan |
|---|---|---|---|---|
| 1 | Live Oak Banking Company | 48 | $130.7M | $2.7M |
| 2 | First Bank of the Lake | 16 | $80.0M | $5.0M |
| 3 | Newtek Bank, National Association | 80 | $42.9M | $537K |
| 4 | JPMorgan Chase Bank, National Association | 32 | $41.8M | $1.3M |
| 5 | Grow America Fund, Incorporated | 8 | $40.0M | $5.0M |
Frequently Asked Questions
Common questions about this industry.
What types of businesses are classified under NAICS 423610?
NAICS 423610 covers merchant wholesalers distributing electrical wire, cable, conduit, breakers, panels, transformers, light fixtures, lamps, and power equipment. These include national electrical distributors, regional independent supply houses, and lighting specialty distributors. Per the U.S. Census Bureau[5], the code covers both construction electrical supplies and power generation equipment.
How is NAICS 423610 organized within the classification system?
This code belongs to Industry Group 4236 (Household Appliances and Electrical and Electronic Goods Merchant Wholesalers), Subsector 423 (Merchant Wholesalers, Durable Goods), and Sector 42 (Wholesale Trade). It shares Industry Group 4236 with 423620 (household appliances) and 423690 (other electronic parts).
What is the SBA size standard for NAICS 423610?
The SBA[7] sets the size standard at 200 employees. Businesses below this threshold qualify as small businesses for federal contracting set-asides and SBA-guaranteed financing programs.
Which NAICS codes are most closely related to 423610?
Household appliance wholesalers (423620) distribute consumer products through separate channels. Electronic parts wholesalers (423690) handle discrete components. Electrical contractors (238210) are the primary customers. Per Census Bureau NAICS references[11], the commercial and construction electrical focus distinguishes this code from consumer electronics and component distribution.
What industries interact most with electrical equipment wholesalers?
Electrical contractors (238210) are the largest customer segment. HVAC contractors (238220) purchase electrical controls and wiring. Transformer manufacturers (335311) and lighting fixture makers (335131, 335132) supply products. Per Bureau of Labor Statistics[6] data, construction spending levels drive demand for electrical wholesale distribution.
What specific activities are included in NAICS 423610?
Activities include distributing wire, cable, conduit, circuit breakers, panels, transformers, light fixtures, LED products, switches, receptacles, connectors, solar panels, and power generation equipment. Many distributors offer pre-fabrication services and energy auditing. Per Census Bureau definitions[5], household appliances and discrete electronic components are excluded.
Can electrical equipment wholesalers access SBA loans?
Yes. Distributors with fewer than 200 employees qualify for SBA loan programs[8] including 7(a) loans for inventory financing and working capital, 504 loans for branch and warehouse facilities, and microloans for delivery vehicles and equipment. High SKU counts and large wire and cable inventories create substantial working capital requirements.
Where are electrical equipment wholesalers concentrated in the United States?
Branch operations spread across all metropolitan areas to serve local electrical contractor markets. National distributor headquarters cluster in major cities like Dallas, Pittsburgh, and Chicago. States with high construction activity like Texas, Florida, California, and the Southeast host the densest branch networks serving residential, commercial, and industrial electrical construction projects.
Sources & References
Government datasets and editorial sources used in this report.
- [1]U.S. Bureau of Labor Statistics, Quarterly Census of Employment and Wages bls.gov
- [2]U.S. Census Bureau, Economic Census census.gov
- [3]U.S. Census Bureau, County Business Patterns census.gov
- [4]U.S. Small Business Administration, SBA 7(a) Loan Program Data data.sba.gov
- [5]U.S. Census Bureau data.census.gov
- [6]Bureau of Labor Statistics bls.gov
- [7]SBA size standard publications sba.gov
- [8]SBA lending programs sba.gov
- [9]SBA 7(a) loans sba.gov
- [10]504 loans sba.gov
- [11]Census Bureau NAICS references census.gov
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