Home » Movie Funding

Movie Funding

funding

Finance is an important aspect when producing a movie. Without money, movies cannot exist. The difficulty of raising funds for a movie production is two way fold; the market is overcrowded with opportunities that earn strong returns. In addition, speculation is another factor that kills the financing deals. There are several elements that come in when one is raising funds for his/her movie project. These includes: the time line, creativity, talent etc. This is why multiple financiers feel comfortable when scheduling the structures.

The following guide will help you to have knowledge on how to fund your movie:

Through equity

This can be a hard cash investment that can be made to the movie production project by the investor, a personal investment from the family or from a group of investors. The equity investment is one of the ways that requires the investors to take their own stake in filming. This needs to be paid back by the investment principal before the movie profits can be seen.

Government funding

Many of the nations have attractive taxes and incentives for film making. Europe media is one of the programs where people need to apply for the fund and lobby for the decision makers until the movie process can hit a target. Designing a business plan for your movie needs to be done on time. In addition, you need to round up the rules and regulations of the media movie money. Moreover, you need to perform a reality check where the public money funds are heavy. Funds impose a restriction and can compromise the creative integrity so easily.

Crowdfunding

This is a website that is intended to finance the movie production processes. It is one of the ways that can trailer the platform of the needs of the fill makers. The crowdfunding tool works best. In addition, it allows the film makers to raise money when doing the hardest part of marketing. They can keep what has been raised when hitting the 80% goal. This can be regarded as a greenlight. They normally charge a 5 % fee on crowdfunding and it can be covered upon the checkout. By crowdfunding, you can get some rewards and offer them to friends who hope to entice in making a donation to the movie project. People might not want to put their money in the movie project, but if it sounds interesting, they can put a tinnier.

Gap

This is a way on which the movie makers can get loans from the bank to a private render on the territories which are unsold. With the partial equity, Gap financing can be available when the other elements of film making are assembled. Gap has an adequate security to the movie maker investors.

Pre-sales and Co-production

This is a strategy of funding your movie production where agreements are made are arranged before the film is produced. It can be based on the project strength and the market ability. The producer needs to generate value to the movie project with the crew. The pre-sales deals are collated and can result to a direct payment from the buyers. The strategy that can be applied to this movie funding is about team work with the band managers . This can enable one to get cash for the production . In co-producing, one can take advantage on the soft money that cannot be accessible to the production. This method of movie funding works out well but it is ardous. In addition, one can allow the financial partners in the world to exercise their creativity.

Tax incentives

This is where an individual state enables the producer to subsidize the spent costs in the production. An incentives require the movie producer to hire a movie crew employees, run payroll or rent the local vendors. Tax credits are applicable and have a length of 12-18 months. The only downside with them is on the difficult processes that need to be conducted to certain credits. In addition, certain credits can be sellable, tradable or transferable basing on the local legislation.

Product placement

This is where one needs to team up with the band managers to get cash for the movie production. The movie product need to expose the brand in enjoying a greater value. It is only a few Indies that can pull power.

For the independent film makers, financing a movie is a challenging aspect. One can have a great screenplay and a talent that can cast a movie. The above ways can help you out to get the finance.

Comments are closed.