One of the most common film financing techniques for independent films is banking pre-sales, which involves the following steps:
- A producer assembles a film package, typically comprised of a script, director, and key-cast.
- The producer engages a sales agent to pre-sell the film throughout the world, with distributors agreeing to pay a certain amount upon completion and delivery of the film.
- The producer then requests a bank to loan funds for production secured by the pre-sale contracts.
Why is independent film finance so complicated? But for the uninitiated, the world of independent film finance can seem complicated. This is because independent producers often raise money from various different sources, and the composition of a film’s financing can be structured in many different ways.
How do I get funding for an independent film? Find Investors One way to fund your independent film is to find people who are willing to investin your project. If your film shows promise, you may be able to get several people to provide you with the capital you need to move forward. Just keep in mind that you’ll need to be transparent with your investors.
How do filmmakers get financing? Usually, filmmakers only use loans to fill in the “gap” or as “bridge” financing between what they have raised and the total cost of the film. Again, a filmmaker will likely have to personally guarantee a loan and put up the film and related intellectual property as collateral.
How does gap finance work for independent films? Gap financiers are often the first to be repaid once the film starts to generate revenues, making gap finance less risky to investors than equity or soft money investment. When an independent film is completed, it is handed over to a number of distributors. The role of the distributors is to maximise the ‘exploitation’ of the film.
independent film financing companies
What is an independent film company? What is an Independent Film Company? First, let’s start with what an independent film company even does. What are their roles in the filmmaking process? Of what, exactly, are they in charge? Independent film companies are always separate from the bigger movie studios in the film industry, like 20th Century Fox or Paramount Pictures.
Do indie movie companies offer lower budgets? These independent movie companies tend to offer lower budgets when financing movies, as opposed to the larger movie companies. However, it is possible some indie movies can gain a higher budget from some of the more successful indie movie companies.
Is A24 an independent film company? A24 is fully financed the film and owned the worldwide rights. If you are researching independent film companies because you want to send them something, ask for money, or try to work with them, we wish you luck. Like most independent film companies, they do not accept unsolicited materials.
How does a movie get funded? 1. Filmmaker raises money for pre-production, shooting and post-production costs of the movie (the “Budget”) from various individual and institutional investors (“Investors. ”) 2. None of the investors receive a return on their investment (“ROI”) until all items in the Budget (i. e.
Why is independent film finance so complicated?
How do independent filmmakers get money? [ Business Of Film: What Is Distribution?] Independent producers generally finance films one at a time, through funding from a distributor, bank loans, equity investors, subsidy funding, or, most often, some combination of these sources.
What do you need to know about film finance? Here are some essential concepts to understand about film finance. It’s easier for studios or large independent production companies to finance films than independents Financing a film is risky because a movie may not get fully funded, or completed, or may not perform well.
Is filmmaking an expensive venture? You have a marvelous idea for a film, as well as a compelling script and a stellar cast and crew. The reality is, however, filmmaking can be an expensive venture. Films are often financed in various ways, which means you might seek multiple forms of financing for a single production.
How does gap finance work for independent films? Gap financiers are often the first to be repaid once the film starts to generate revenues, making gap finance less risky to investors than equity or soft money investment. When an independent film is completed, it is handed over to a number of distributors. The role of the distributors is to maximise the ‘exploitation’ of the film.