As influencer marketing continues to grow in popularity as a career path, opportunities present themselves to support those influencers working in the industry, such as in the case of talent management agencies.
With new talent management agencies popping up every day, here’s a few things you may need to know before you run off to start your own agency.
1. Know the laws that apply to your services
Both Federal and State based legislation may apply to your business operations. You may need to consider the laws of other States and Territories if you’re managing talent outside of your home State or Territory. The table below details some of the key legislation that may apply to your business operations as a talent manager.
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Jurisdiction |
Legislation
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Federal |
Australian Consumer Law (Schedule 2 of the Competition and Consumer Act 2010 (Cth) o Prohibits unfair contract terms o Prohibits misleading or deceptive conduct o Requires services to be provided with due care and skill o Provides consumer guarantees that cannot be waived
Fair Work Act 2009 (Cth) o Relevant if the talent manager employs the talent o Sets minimum standards, Award conditions, and governs contract classifications.
Privacy Act 1988 (Cth) o May apply to the extent that the talent manager is collecting and storing personal information about clients and talent. o Talent managers must comply with the Australian Privacy Principles if applicable.
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New South Wales |
Entertainment Industry Act 2013 (NSW) Entertainment Industry Regulation 2020 (NSW) o This legislation applies when conducting business in New South Wales. o Requires written agreements. o Places restrictions on fees. o Regulates how talent managers operate.
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Queensland |
Private Employment Agents Act 2005 (Qld) Private Employment Agents (Code of Conduct) Regulation 2015 (Qld) o This legislation applies to those securing work for talent in Queensland. o Places restrictions on fees. o Regulates how talent managers operate.
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Victoria |
Fair Trading Act 1999 (VIC)
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| South Australia |
Fair Trading Act 1987 (SA)
Agents may fall under the definition of employment agents under the Employment Agents Registration Act 1993 (SA) and the Employment Agents Regulations 2024 (SA). |
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Western Australia |
Fair Trading Act 2010 (WA)
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Tasmania |
Fair Trading Act 1990 (Tas)
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ACT |
Fair Trading (Australian Consumer Law) Act 1992 (ACT)
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NT |
Consumer Affairs and Fair Trading Act 1990 (NT) Australian Consumer Law (NT)
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2. Fee structure
When determining how you will structure your commissions / fees, you will need to take into consideration any laws that place restrictions on your commissions / fees, such as some of those listed above. Once you have determined the fees / commissions you will charge in exchange for the relevant services you will provide, you will need to ensure that your agreements with talent and / or brands accurately reflect how your fees / commissions will be charged, and your liability for any tax and super obligations.
3. Know your tax and super obligations
You will need to consider laws relevant to GST, PAYG, Superannuation and Payroll Tax. Individual talent (including sole traders) performing influencer marketing services to advertise brands will likely need to be paid superannuation and have PAYG instalments paid to the ATO. Talent managers will need to consider if they are required to register for GST and charge GST on commissions charged to talent and any agency service fees charged to brands. Talent managers may also be liable for payroll tax depending on the circumstances. It is important to seek legal, tax and accounting advice on these obligations before launching your talent management business.
4. Put contacts in place with your talent
You will need to put an agreement in place with each talent under your management. As several laws may apply to the provision of your services, it is recommended that you obtain legal advice on the preparation of your agreements. You will also need to consider your intended structure to determine whether you will be:
- employing the talent in your business to enable you to provide influencer marketing services to clients / brands, giving rise to an employment relationship between yourself and the talent; or
- providing services for the benefit of the talent operating their own businesses, which may give rise to an independent contractor relationship.
5. Create trading terms
You should create general trading terms for your business to be made available to clients / brands who approach your business to secure talent for brand campaigns. This is where you can set out information such as whether you employ the talent or simply provide management services for their benefit, and all terms relevant to the brand engaging with your talent management business.
6. Create a privacy policy
Regardless of whether you are legally required to have a privacy policy, many individuals are reluctant to provide businesses with any of their personal information following years of examples of personal information data leaks in Australia. Your responsibility to have a Privacy Policy may also change overtime as your business grows and evolves and / or privacy laws are reformed. For this reason, it is a good idea for all businesses to create and publicly display a privacy policy at the time of launching their new business, and to review and update this policy as needed.
7. Structure and registrations
When starting any new business, it is important to consider your legal structure and any registrations you are required to obtain. This may include at a minimum, registering a business name, registering an ABN and registering for GST when required. To protect your trade marks, you should also consider applying for trade mark registrations prior to launching your new business. You should seek both legal and accounting advice in relation to your structuring and registrations.
8. Insurance
Before launching, you should consider any policies of insurance available to you to minimise your risk. This may include for example, public liability insurance, professional indemnity insurance, management liability insurance, statutory liability insurance, cyber insurance, and workers compensation insurance (if applicable). You should seek advice from an insurance advisor in this regard.
Before launching your new talent management business, schedule your free initial discovery consultation to see how we can help you.
Information contained within this blog post is intended to be general information only and is not in any way intended to constitute legal advice. You should not act or rely on any information found in this blog post without obtaining prior advice specific to your circumstances.
