What Is a Data Universal Numbering System (DUNS) Number?
Let me explain what a DUNS number is: it's a unique nine-digit identifier created by Dun & Bradstreet to establish a business profile. This number is the most common way to identify companies in the U.S., and it's crucial if you're aiming to secure government contracts or engage in international trade. As a business owner, having a DUNS number lets you showcase your credibility and connect with potential clients and partners through the detailed information available in the D&B database.
Key Takeaways
- A DUNS number is a nine-digit identifier for businesses created by Dun & Bradstreet.
- Having a DUNS number is mandatory for bidding on government contracts and applying for federal grants.
- DUNS numbers are unique to each physical location of a business, such as branches or headquarters.
- The process to apply for a DUNS number is free for U.S. companies and can be expedited when applying for a government contract.
- The DUNS system is widely used in the U.S. for business identification and must be managed by the businesses to ensure accuracy.
Functionality of a DUNS Number
Dun & Bradstreet developed the DUNS system in 1963 to identify businesses within its credit reporting framework, and by 1994, it became the standard for federal government electronic commerce. You'll find it used by a range of entities, from major corporations and small business owners to nonprofits and partnerships, including users like the U.S. government, the United Nations, and retailers such as Target.
The DUNS number provides details on your company, including its official name, financial data, trade name, payment history, economic status, and executive names. It also allows you to search for information on other companies, helping you find potential customers, partners, or vendors. If you're dealing with the federal government, you must have a DUNS number as an existing or potential contract vendor, grant recipient, or cooperative agreement applicant.
Registering for a DUNS number is voluntary, but you need it to bid on local, state, or government contracts, apply for federal grants, or secure credit with lenders. It confirms your business's credibility and supports dealings with retailers and some foreign countries.
How to Apply for a DUNS Number
You apply for a DUNS number through the DUNS website. If your business is based in the U.S., you can request it for free. An authorized representative must complete the application, and it can take up to 30 days to receive your number.
However, if you're applying for a federal contract, you can get a DUNS number for free within 24 hours. You'll need to provide details like your legal company name, headquarters name and address, physical address, mailing address, telephone number, contact name and title, and the number of employees at the physical location.
Remember, you need a separate DUNS for each location, such as branches or headquarters. It's your responsibility to manage these numbers and ensure the information is accurate. Use the DUNS Number Lookup tool to check if your business already has one. Through the D&B database, you can access your business credit score, review and update your credit report, view and print a copy, dispute payment history, and update financial information.
Important Considerations for DUNS Numbers
The DUNS number identifies your business as registered with Dun & Bradstreet. If your company is listed with another credit bureau like Experian, it won't appear in the D&B database because these bureaus maintain separate databases and don't share data.
The Bottom Line
In summary, a DUNS number is a vital tool if you're looking to establish credibility and participate in global commerce. Created by Dun & Bradstreet in 1963, this nine-digit identifier opens doors to federal contracts, grants, and international opportunities. While it's optional, it's required for government contracts or partnerships with international firms. As a U.S.-based company, you can apply for free, with expedited processing available. This identifier enhances your company's credibility by showing it's registered with a reputable entity that has reviewed its operations and financial history, setting the stage for growth and partnerships.
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