SBA hands creators NAICS code 5121 — and a path to $5M loans

On Oct. 15, the U.S. Small Business Administration issued the nation's first small business classification guidance for content creators, placing creator-led businesses under NAICS code 5121, Motion Picture and Video Industries. The move opens a clearer path to SBA loan programs that include microloans of $50,000 or less and 7(a) loans capped at $5 million — money drawn from roughly $45 billion the SBA delivers annually through the U.S. banking system, according to Avi Gandhi, chair of government advocacy for the Creators Guild of America.

The guidance follows proposed amendments the SBA floated months earlier, aimed at simplifying classification so millions of creator-led businesses could come into the agency's tent. Creators were already eligible for SBA support when they met program requirements — citizenship, business location, size and credit availability — but until now nobody knew which of the thousands of NAICS codes they should use on the forms.

What does the classification actually change?

In practice, the change removes confusion rather than creating a new benefit. "Creators were already eligible for SBA support if they met program requirements," said Iluka Enright, associate director of influencer marketing at Movers+Shakers.

The paperwork problem was real. "They had no obvious industry code to put on the forms. That left loan officers guessing at how to judge a business built on YouTube ad revenue, brand deals, and affiliate income," said Lauren Lyster, vp and head of social media at Go Fish Digital. The SBA chose 5121 because creators so often film, produce and edit their own content, and the code makes applications and progress tracking much easier.

Why does the money matter now?

Visa's 2025 creator report found 88 percent of surveyed creators plan to grow their business in the next year, while 86 percent finance their work with personal funds. That model works while revenue flows. A dip in engagement or a gap in brand partnerships turns personal savings into a liability. Creators who sell their catalogs or future revenue give up a share of income instead.

An SBA loan offers a more traditional route. "A creator could hire an editor, rent a studio or build a product line without signing away equity or IP," Lyster said. Loans can fund equipment, staff for editing or PR, and broader operations. Creators can also tap other SBA resources, including Small Business Development Centers that help with contracts and bookkeeping.

Does this reshape brand deal negotiations?

Opinion splits here. Gandhi called changes to how deals are structured "unlikely," but said financing and mentorship will let more creators build capital-intensive businesses — consumer products, local restaurants and retail, real-world services.

Creator and advocate Shira Lazar sees negotiation leverage. "Having greater access to capital means creators may be less dependent on taking the next brand deal just to keep their business running," she said. "That can give them more flexibility to negotiate fair rates, payment terms, ownership, and longer-term partnerships."

Lyster added that creators registered as properly set-up small businesses clear vendor onboarding and procurement faster, and some brands may count that spend toward small-business supplier goals.

What are the risks?

The SBA is proposing an exception to size standards for the Motion Picture and Video Industries qualification, because creator-led businesses tend to be very small. The ruling comes after Nov. 20, when the public comment period closes. If the exception fails, fewer creators could qualify for SBA programs.

Debt carries its own hazard. A creator whose reach collapses after a platform algorithm change could be "stuck with real personal liability," Lyster noted. More financially independent creators may also push fees higher, making the market more competitive.

Kyle Hjelmeseth, CEO and co-founder of G&B Digital Management, urged perspective: "It's important to recognize that this is a relatively minor change rather than a sweeping shift in how creator businesses operate. The bigger opportunity is what comes next. As these conversations continue, I hope we'll see more meaningful resources and support become available."

The symbolism still carries weight with industry leaders. "For over a decade, creators have shaped culture, commerce, and consumer behavior, yet have largely been treated as marketing expenses rather than businesses," said Daniel Abas, founder and president of the Creators Guild of America. Lyster framed the stakes plainly: "When a federal agency formally recognizes millions of creator-led businesses, the people who decide where money goes start to treat creators as an asset class." Terra Fernandez, vp of content partnerships at Canvas Worldwide, called it proof that "this isn't a side hustle economy anymore. It's a real business ecosystem." Whether the Nov. 20 ruling broadens or narrows that ecosystem is the next marker to watch.