Guide for Brands and Creators
Disclosing Paid UGC: What the FTC Asks Creators and Brands to Do
General information about United States rules, not legal advice. Other countries have their own rules; check the law that applies to you.
If a creator is paid, given free product or has any other material connection with a brand, a post that endorses the brand needs a clear disclosure. The FTC says the disclosure belongs with the endorsement itself; for a video, in the video and not only in the description. Plain words such as “ad” or “sponsored” are acceptable.
When a Disclosure Is Needed
The FTC’s guidance for influencers says to disclose any financial, employment, personal or family relationship with a brand. Free or discounted products count. It also says to disclose even if you think your opinion is unbiased.
Where the Disclosure Goes
- With the endorsement itself, where people will see it.
- In a video: in the video, not just in the description uploaded with it.
- In a live stream: repeated, so people who join part way through see it.
- Not only on a profile page, at the end of a post, or behind a “more” link.
- Not mixed into a group of hashtags or links.
Wording the FTC Accepts
The FTC gives “advertisement”, “ad” and “sponsored” as examples, as well as a plain thank-you such as “Thanks to Acme brand for the free product” when it is hard to miss. On platforms with little space, “AcmePartner” or “Acme Ambassador” are also options.
Posting From Outside the United States
The FTC says United States law applies if it is reasonably foreseeable that a post will affect consumers in the United States, and that foreign laws may also apply.
How It Works on Canvas UGC Marketplace
Our Terms of Service require creators and brands to follow the advertising disclosure rules that apply to them, including the FTC Endorsement Guides. A brand can add caption requirements to a campaign, such as a disclosure, and captions are checked when a video is submitted.