Module 1

Disclosures

Tell people the relationship before they click or buy.

12 min read

If you have a material connection to a brand — money, free stuff, commissions, a discount code, equity, employment, or even a family tie — you must disclose it clearly and conspicuously. The test is simple: would a reasonable consumer know the relationship before acting on your recommendation?

Key rules

  1. Disclose before the affiliate link or recommendation, not buried at the end.
  2. Use plain language. #ad and 'partner' are usually clear; cryptic abbreviations are not.
  3. The disclosure must be easy to notice on the device and platform used.
  4. Gifts, discounts, store credit, travel, and free products count as compensation.
  5. Tagging a brand, using a commission link, or joining an affiliate program triggers the duty.

Do this, not that

Placement

Do this

Put the disclosure in the first three lines of a caption or before the link.

Not this

Hide it behind a 'more' button, at the very end of a long post, or only in a bio.

Why: If a reader has to tap to see the disclosure, it is not conspicuous.

Language

Do this

Use 'Ad,' 'Paid partnership,' 'Affiliate link,' or 'Gifted from [brand].'

Not this

Use #sp, #spon, #partner, or vague phrases like 'thanks to the brand.'

Why: The FTC says disclosures must be understandable to ordinary consumers.

Video and Stories

Do this

Show the disclosure on screen early and long enough to read, and say it out loud.

Not this

Flash it for one second, put it only in the description, or rely on music lyrics.

Why: Viewers may miss a fleeting disclosure or never open the description.

Live streams

Do this

State the relationship at the start and repeat it before you show or mention the product.

Not this

Mention it only once at the very beginning of a multi-hour stream.

Why: New viewers join mid-stream and may not see an early disclosure.

Gifted products

Do this

Disclose when you got the product free or at a steep discount, even if you were not paid cash.

Not this

Say 'I bought this myself' when you did not, or skip the tag because no money changed hands.

Why: Free products are still compensation and can affect credibility.

Personal benefit

Do this

Disclose family, employer, friend, or equity ties to the brand.

Not this

Promote your brother's supplement line without saying he is family.

Why: Close personal or financial ties change how people weigh your opinion.

Platform by platform

InstagramUse the paid partnership label when available, and repeat the disclosure in the caption for safety. Stories need a text sticker on the same slide as the product.
TikTokUse the 'Paid partnership' toggle and show the disclosure in the video itself, not just the caption.
YouTubeState the relationship in the video and in the first two lines of the description. A pinned comment helps but is not enough alone.
Blog / emailPlace a short disclosure at the top of the post or above the first affiliate link. A footer-only disclosure is risky.
Live streamsRepeat the disclosure each time you return to the product and keep it visible on screen if the platform allows.

Fix it: before and after

Risky

Obsessed with this serum! Link in bio. #skincare #glowup

Fixed

Ad | Obsessed with this serum! If you buy through my link, I may earn a small commission. #skincare #glowup

Why it works: Adds a clear 'Ad' label and explains the affiliate link before the user clicks.

Risky

Thanks @brand for the gifted stay! Swipe for room tour.

Fixed

Gifted stay from @brand. All views are my own. Swipe for room tour.

Why it works: States the free stay upfront so the hotel recommendation is transparent.

Risky

Use code MEGAN20 for 20% off (no mention of earnings).

Fixed

Use code MEGAN20 for 20% off. I earn a small commission on sales — thanks for supporting the channel.

Why it works: Discloses the personal financial benefit tied to the discount code.

What it costs to get wrong

The FTC can seek civil penalties up to $50,120 per violation, and state attorneys general can bring their own cases. Platforms also remove monetization, affiliate accounts, and storefronts for repeated disclosure failures.

Module quiz

Pass with 80% or higher. You can retake as many times as you need.

Question 0 of 8

1. A creator receives a free product and posts about it. Do they need to disclose?

2. Where should a disclosure appear in a social caption?

3. Which disclosure wording is clearest?

4. For a YouTube video, a disclosure in the description alone is sufficient.

5. A disclosure in an Instagram Story should be:

6. During a live stream, the creator should disclose the partnership:

7. A creator's sibling owns a supplement brand. The creator promotes it without mentioning the relationship. Is this compliant?

8. Which is a compliant affiliate disclosure?

Educational, not legal advice. This course explains common FTC compliance issues, but it is not a substitute for advice from a lawyer who knows your situation. Always check the latest FTC guidance at ftc.gov.