Tag: naics code 5121

  • Content Repurposing: How SBA Recognition Will Change Influencer Budgets by 2027

    Content Repurposing: How SBA Recognition Will Change Influencer Budgets by 2027

    The moment has finally arrived when the creator economy has received official recognition. On October 15, the U.S. Small Business Administration (SBA) issued a directive that classifies qualified content creators under the same industry code as motion picture and video production studios. This is a historic step, confirming what marketers have long observed: content creators are full-fledged media businesses. Ahead of budget formulation for 2027, internal categorization of creator partnerships will determine the amount of allocated funds, as well as methods for measuring effectiveness and contract terms, especially in the context of content repurposing.

    New SBA Classification: What Does It Mean?

    The SBA has assigned qualified content creators NAICS industry code 5121, pertaining to “Motion Picture and Video Industries,” which grants them access to SBA loans and contracts. The scale of the change is immense: the SBA counts 27 million businesses led by content creators in the U.S. alone. This is not just a formality; previously, creators had to choose unsuitable categories to obtain funding.

    “Previously, a creator who shoots, edits, distributes content, and sells merchandise had to choose from industry categories that did not describe their work. Now there is a clear category for them to select on their application.”

    This recognition places creators on par with major film studios and streaming services, which is an accurate reflection of their activities. Large creators operate as full-fledged production companies with staff, sets, and regular shows. Smaller creators are often “one-person bands,” performing all roles, from scriptwriting and filming to editing and distribution.

    Why Is This Important for Brands and Marketers?

    For a long time, brands viewed partnerships with creators as experiments or a tool to increase awareness, funding them on an ad-hoc basis. Now that content creators are recognized as media businesses, the same standards should apply to them as to other media partners: sales, contribution to the sales funnel, and incremental growth.

    Budgets

    • Budgets for creators should be planned on par with budgets for paid advertising. According to the IAB, spending on advertising with creators reached $37 billion in 2025 and is growing four times faster than overall media spending.

Partnership Terms

  • Federal recognition, improved access to funding, and growing demand from brands give creators more leverage in negotiations. Influencers like Alix Earle are already reducing the number of partners, opting for more favorable terms. Long-term contracts or ambassador programs now are a chance to lock in current rates before they increase.

Contracts

  • If creators are businesses, contracts should be drafted accordingly. Working with the legal and procurement departments to update payment terms, scope of work, and content usage rights becomes critical.

How to Adapt Your Strategy for 2027: Checklist

Before finalizing your plans for 2027, three key checks need to be performed:

  1. Budget: Plan creator expenses alongside paid advertising expenses. Evaluate them using the same sales and funnel metrics.
  2. Partners: Identify key creators for long-term collaboration and offer them multi-quarter terms before their rates increase.
  3. Contracts: Update contracts to include clear payment terms, scope of work, usage rights, and “whitelisting.” Ensure everything complies with the requirements of the legal department, as the status of creators as taxpayers or employees does not change.

Content creators have long functioned as media businesses, and now this is officially enshrined. Brands that adapt their plans accordingly will be better prepared for negotiations in 2027.

Репурпозинг контента: Как признание SBA изменит бюджеты на инфлюенсеров к 2027 году — illustration 2

Frequently Asked Questions

What is content repurposing in simple terms?

Content repurposing is the process of transforming existing content into new formats or for new platforms. For example, turning a long webinar video into a series of short clips for TikTok, Reels, or YouTube Shorts. This allows you to scale content, reach new audiences, and extend its lifecycle without creating new material from scratch.

How does SBA recognition affect bypassing ad bans?

SBA recognition does not directly affect bypassing ad bans. However, when creators are perceived as full-fledged media businesses, it enhances their professionalism and work standards. This can indirectly contribute to the creation of higher-quality content that complies with advertising rules, which, in turn, reduces the likelihood of blocks. For video uniqueness and bypassing anti-plagiarism in advertising campaigns, technical solutions are still required, such as changing the video DNA, background, or voice timbre, to repackage creatives and create 100 unique ones from one.

Should you order a new video or unique an old one?

The choice between creating a new video and uniquing an old one depends on budget, goals, and resources. Ordering a new video from scratch can be costly and time-consuming. Repurposing and uniquing allow for significant savings by using existing material. For example, one webinar can be turned into 50 clips, adapted for different platforms and target audiences. This is an effective way to generate variations for A/B tests and scale content with minimal costs, especially when it comes to a uniquing package for mass launch of advertising campaigns.

What is “video DNA” and how to change it for uniquing?

“Video DNA” is a metaphorical term for the unique characteristics of a video file that can be used by algorithms to identify it. This includes metadata, visual and audio patterns, time codes, and other parameters. To change video DNA for uniquing and bypassing anti-plagiarism, various methods are used: re-encoding, changing resolution, adding or removing frames, changing playback speed, overlaying effects, changing the audio track, voice timbre, or background music. The goal is to deceive algorithms by creating a “clone” that will be perceived as new and unique content.

  • Content Creators Receive Official SBA Classification: Access to Loans and Grants

    Content Creators Receive Official SBA Classification: Access to Loans and Grants

    For the first time, the U.S. Small Business Administration (SBA) has assigned an official classification to content creators, marking a true breakthrough for the entire creative industry. This decision significantly simplifies access to loans, grants, and other forms of support provided by the SBA, opening new horizons for business development in the field of digital content.

    The Creator’s Guild of America (CGA), which actively collaborated with the SBA to achieve this goal, emphasizes that content creators have long met the association’s criteria. However, they lacked “clear guidance on the NAICS code that best reflected their integrated business models.”

    Why is this important for content creators?

    Modern content creators often perform multiple functions: production, editing, distribution, marketing, and monetization of original audiovisual content across various platforms and through multiple revenue streams. Due to this multifaceted nature, many faced significant difficulties in completing paperwork and navigating approval processes to obtain the loans and grants necessary for their business growth.

    “Because today’s creators often produce, edit, distribute, market, and monetize original audiovisual content across multiple platforms and through multiple revenue streams, many creators have struggled to navigate the paperwork and approval processes needed for things like loans and grants that can help grow their businesses.”

    Now, all creator-led businesses are officially classified under NAICS code 5121, known as “Motion Picture and Video Industries.” The CGA states that this classification covers a wide range of professions:

  • Gamers
  • Digital publishers
  • Social media entrepreneurs
  • Creative agencies
  • Other companies that produce and distribute original audiovisual content both online and offline.
  • Expert and Participant Comments

    Kelly Loeffler, SBA Administrator, stated: “American creators are entrepreneurs who build businesses based on original ideas, unique audiences, and content, turning them into thriving small businesses that create jobs. For the first time, the SBA recognizes these enterprising content creators within our small business framework. This historic guidance eliminates outdated classifications and provides qualified creators with greater clarity as they build businesses, create jobs, compete, and build the future.”

    Daniel Abas, founder and president of CGA, noted that “millions of creators will benefit” from this decision. “We look forward to our members fully taking advantage of the access to capital that the SBA guidance provides, and we are proud that the professional infrastructure built by CGA contributed to this outcome,” he added.

    Key Figures in Promoting the Initiative

    Abas also emphasized that creators such as Shira Lazar (founder of Creators 4 Mental Health and CGA advisory board member) and Avi Gandhi (chair of CGA’s government engagement committee) “were instrumental in advancing these efforts.” He called this breakthrough “a testament to their hard work and a significant step forward in CGA’s mission to help creators.”

    TikTok also participated in this process. Nicole Neison, TikTok’s Head of Public Policy, called the SBA decision “historic guidance” that “puts the SBA at the forefront of the creative economy and creates clear pathways for modern entrepreneurs to expand their reach, create jobs, and stimulate local economies.”

    Создатели контента получили официальную классификацию SBA: доступ к кредитам и грантам — illustration 2

    Significance of the SBA Decision for the Creative Economy

    The importance of the SBA’s move for content creators cannot be overstated. We are in a period of an unstable economy and a rapidly evolving industry. Creators, like everyone else, face rising living costs, but are also well-positioned to move forward if they see opportunities.

    These two forces are at odds, and without business-specific loans/grants/etc., pursuing opportunities can be difficult or impossible for cash-strapped creators.

    We have already seen independent companies emerge with the explicit goal of providing creators with liquid cash injections to fund their future projects (often in exchange for back-catalog licensing rights and/or a share of future profits). However, receiving assistance from a long-standing, regulated entity like the SBA can give creators a truly solid foundation to build their content empires – or simply help them reach a level where they can provide a reliable living wage for themselves and their teams.

    Frequently Asked Questions

    What is NAICS Code 5121?

    NAICS Code 5121 refers to the “Motion Picture and Video Industries.” It now includes a wide range of digital content creators, from filmmakers to streamers and podcasters, making it easier for them to access financial support.

    What are the benefits of the new classification?

    The new classification allows content creators to access loans, grants, and other support provided by the SBA. This helps them grow their businesses, create jobs, and compete in the market by ensuring stable funding.

    Who are “content creators” under the new classification?

    Under the new classification, “content creators” include filmmakers, video producers, podcasters, streamers, gamers, digital publishers, social media entrepreneurs, creative agencies, and other companies that produce and distribute original audiovisual content.

    Conclusion

    This historic decision by the SBA is a significant step forward for the entire creative economy. It not only recognizes content creators as full-fledged entrepreneurs but also provides them with the necessary tools for growth and stability. For more information on SBA support programs, visit the official SBA website or the Creators Guild of America resource.