How to Fund a Film Project

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HOW TO FUND A FEATURE FILM

I. Non-recourse loans from family and friends.

This is usually the easiest money to find.

II. One or two active partners with money.

This is the partnership route, with you providing the creative end of things and your partners providing money.

III. Studio (in house)

This approach gives the studio control of the project; the studio (major or mini-studio) finances development, production, and distribution and is typically the producer of the film.

IV. Studio (packaged project)

With this business model you are the producer and you finance acquisition rights, development and rewrites, and the rest of it, and then you package the project for sale to a studio.

V. Negative Pick-Up

Here you are the producer (again); but this time you pre-sell distribution rights to one or more distributors and you then use these distribution contracts as collateral to finance production of the film.

VI. Exempt offering

You prepare a business plan and a private placement memorandum, and offer shares in the project to investors.

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Published In: Art, Entertainment & Sports Updates, Finance & Banking Updates, Securities Updates

DISCLAIMER: Because of the generality of this update, the information provided herein may not be applicable in all situations and should not be acted upon without specific legal advice based on particular situations.

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