Committee on Small Business Holds Hearing on the Impact of the Content Creator Economy

WASHINGTON, D.C. - Today, Congressman Roger Williams (R-TX), Chairman of the House Committee on Small Business, held a hearing titled "Streaming Success: Small Businesses in the Age of Digital Influence" to highlight the rise of content creators as entrepreneurs and examine the barriers and challenges they face.

"Content creators are more than just entertainers," said Chairman Williams. "They are small business owners, job creators, and innovators who face the same challenges as traditional small businesses. For years, this Committee has been tirelessly fighting to mitigate the barriers our witnesses spoke about today: access to capital, burdensome regulations, and high taxes. As Chairman, I will continue to be a voice for small businesses-whether that be physical or digital."

---

Watch the full hearing here.

Below are some key excerpts from today's hearing:

Chairman Williams: "You left a career at the Department of Defense to pursue content creation full-time, as you said- a leap that many would see as unconventional, but today we're seeing more people make that jump. So the question is: what aspects of the content creator industry inspired you to make that transition and what opportunities motivated your decision?" Mr. Luciano: "Yes, sir. Thank you for the question. Honestly, what motivated me was to start a purpose-driven career. I loved working for the Department of Defense, but there was always a fire in me to help people. I felt like me, myself as a Christian, it gave me the reach to talk about my faith and talk about mental health in ways that were unconventional, especially with the start of TikTok. I realized very quickly-me being a systems guy-that the systems of this algorithm were built differently, and I wanted to use it for good. So, I downloaded TikTok at my desk in 2019, and the rest is history. I've been able to work with dream brands and start my own businesses, and I feel like I'm walking the path of purpose. So, that's really the main driver behind it."

Rep. Mark Alford: "What can we do now to help you and the industry be even more successful for the economy of America and Main Street?" Ms. Brennan: "Thank you for that question, and I think it comes back to education. I think, you know, tax breaks are always helpful for new businesses that are starting and coming up, specifically creator-led businesses. If we're identifying these individuals, and they are, as the next generation of entrepreneurs, they deserve the same protections and education on how to grow. I think that's a really dynamic way. And then looking at it from perhaps the NIL standpoint, where there's a lot of marketing deals-and I'm going to speak to marketing deals, I'm not going to speak to the actual contracts with the universities. Right now, it's not a national registration for agents. Right now, it's segmented by the states, and it varies. And it becomes costly for small businesses. For the big guys, it's no problem, but you start adding up those bills and start swiping those credit cards, and it adds up. These athletes deserve to be protected. However, you know, let's kind of avoid the barriers to entry that aren't necessary."

Rep. Stauber: "Ms. Moran-as not only a creator, but someone who advises creators-are there specific legal or tax hurdles that disproportionately impact new digital entrepreneurs, especially those who are just starting to grow their digital business?" Ms. Moran: "Thank you for the question. As Ms. Brennan said, I think, a lot of times they think: I need to have a manager to help me make a business and make more money. But they don't think of the legal implications of the contracts that they're signing or, if there's not a contract at all, especially when tax season comes around. On Monday, the Q3 estimated taxes were due. I paid mine. I don't know if a lot of these creators know that they need to be doing that. Then come April, there's a really large tax bill that they're frightened by. Having advisers and people who can assist them in understanding what a business is, because, as we said, a lot of them know they're small businesses, even when they start out. Once you start making money, you're a business. I think we know that inherently. We don't necessarily think of the formalization of it: starting an LLC to protect their intellectual property, you know, having a lend out company that is the contracting party. A lot of them let their managers sign for them, which isn't necessarily bad, but having an understanding of what that means."

###