From Blogger to Business Owner

Are you someone that creates awesome content for the internet? Are you a blogger? Do you make video content on something you feel passionate about? Do you post on Facebook, Instagram, Pinterest or TikTok (Or any one of a dozen other online platforms) regularly?

If you do, you will probably fit broadly into one of two categories.

1. You will be a hobbyist who typically creates content primarily for personal enjoyment, passion, or self-expression. Hobbyists may not actively seek monetary gains or have specific marketing strategies in place.
2. You are an online marketer who creates content with the primary goal of promoting a product, service, or brand and tends to have a more strategic approach and focus on audience growth, engagement, and monetization.

Many content creators may start as hobbyists and gradually transition into online marketers as their following grows and they begin to explore monetization opportunities. Others might blend elements of both approaches, creating content that reflects their passions while also incorporating marketing strategies to grow their audience and generate revenue.

The Australian Taxation Office (ATO) has recently updated its information about content creation so, if you are currently creating content, it is time to get the right advice as to which side of the fence you might be on.

In general terms, if you derive regular income through the content that you create you may have crossed the line from hobbyist to marketer. Income can include cash; money for advertising or appearance fees; or goods like a new gaming console, clothes, or make-up – whether the source is from Australia, or overseas.

If it turns out that you are actually a marketer, then you may well be a business and you are going to need to know what to do regarding the information you need to report, deductions you can claim and which business registrations and insurances you may need.

Transitioning from a content creation hobby to a business can be a thrilling and rewarding experience, but there are some things you must be aware of.

What is certain is, you need advice from a professional. If you ignore the possibility that you have become a marketer, and the ATO catches up with you, I am certain you will be wishing you had taken the time to get the full story.

At Hills Accounting we pride ourselves on advising and assisting our customers with the right advice, whether you are an existing business, a start-up taking your first steps or just a hobbyist that is not sure where they stand.

Call us today on 03 6273 7800 or email admin@hillsaccounting.com.au