Financing / Crowdfunding

Interesting. Thanks, Langley.

Hi Eric - here's a link to a Stage 323 webinar on the subject that I recommend. Sara Elizabeth has raised millions of dollars for independent films and shares valuable information here: https://www.stage32.com/webinars/Gaining-Investors-Trust-and-Money

Hey Eric, That's a good sign. It means he's a smart businessman who wants quality answers prior to making an investing decision. Feel free to connect here or shoot me a contact message via filmbudget.com - what he's looking for is a film finance plan - which I create based upon my 30 years of experience. Look forward to connecting and good work doing so via your landlord! That's how we do it! Jack

A detailed film proposal followed by a private placement memo or investor agreement is needed, but finding streamer data for filling out return on investment projections is nearly impossible. Theatrical and video data can be found or bought through sites like the-numbers.com. But streamers continue to refuse to make their figures available. Find the most similar and realistic comps you can and disclose the data limitations.

The film and music business are speculative at best. NOBODY can predict income from an entertainment endeavor. May as well toss your money down a water well.

Hi Maurice - that they don't have their ducks in a row yet and didn't do the housekeeping before asking someone to take a look! If you can't answer the questions you're likely to be asked or you don't have a plan and materials in place ( same thing almost) ... weak start to the conversation.

I have a question about going after a small investor to secure additional talent before taking a project out. I have a project with a name actor and director attached, but it seems we need to fill out the rest of the roles. Is there an existing strategy where initial money can be secured in order to get talent reads?

Hi Sam, tricky to know exactly how to answer this but broadly based on the info - I guess I'd ask you why the investor would take on that cost? If it's small then it can be deferred and paid out of the profits of the creative team who own the IP? I'm unclear if you're saying for her to sell it outright to an investor to develop and produce - in which case sell it for a fair price. Or, if you mean for an investor to fund and who'll take a share in the profits... then consider to take the lien repayment out from another pool if you want to incentivise your investors to commit. The risk of not looking at it, at least from this perspective as an option, is you inflate the cost and reduce the ROI. I'd rather see something happen and take less money amongst my Producers than I would offer an ROI that isn't appealing and wind up with no investment... or film made.

Hi Steven, if you're looking for individuals then look to the establishments you'll find wealthy individuals - yacht clubs, members clubs, collectors clubs. Art events, gala events or similar benevolently themed occasions. You can also try private wealth managers and family offices, private bankers who either themselves may have an interest or manage clients investments who could be keen.

Thank you for the answer, Emma Louise Smith. Thanks again for having this AMA. I learned so much! Have a great rest of your week and weekend.

When it comes to financing a project, most producers won't find your money on an independent level. You have to do it yourself, or do something cheap / self finance.

Most importantly, even more important than a 'good script' is having a distribution deal in place before you make your film.

Best wishes!

It's truly upsetting to hear about the challenges you've faced with film financing, and your experience resonates with many of us as filmmakers who navigate the crazy world of funding.

The elusive nature of securing financial support for creative projects is indeed a puzzle that requires not only the right information but also impeccable timing and alignment of resources. Many of us have had the "Film Carpet" pulled out from under us... I have personally lost $5000.

Success stories often involve a combination of persistence, networking, and sometimes a stroke of good fortune. Building relationships within the industry, attending relevant events, and leveraging online platforms for crowdfunding are common strategies. Innovation moves beyond crowd funding standards. Some innovation requires the will to risk.

Across your career, It is important to explore grants, film festivals, and connecting with potential investors or production companies that align with your project's vision can be avenues worth exploring. Look for the straight shooter in the industry. People's actions that match their words rather than be incongruous behavior. Flighty, wavering, and flaky behavior can be spotted early on.

Each filmmaker's journey is unique, and while there's no one-size-fits-all solution, sharing experiences and insights with fellow creators can be invaluable.

It's a tough road, but the passion and dedication you've shown in unraveling the intricacies of film financing are commendable.

Wishing you the best in your quest, and may you uncover that path of gold for your project. Let's indeed connect and share knowledge—collaboration often proves to be a powerful force in navigating these challenges. People become jaded very fast in this industry and then some even quit because of it.

To prevent yourself from ever becoming "Jaded" Have strong passion reminder, and reflect on successes. It is crucial diversify your projects and relations.

Sound advice Mario. And sorry to hear you yourself have lost 5k. The reason why so many people have trouble securing financing is most do not know what they'll do with the finished film or have unrealistic expectations when making a movie. Plus, most money you get for an indie film (if you're lucky) are personal relationships. Even then, when I make films, I try to avoid asking for money, or if I do, I'll make a film for a little as possible so there is a chance of getting something out of it.

You actually said it, you need to have all your ducks in order and as mentioned here, you need to do it yourself. Your package must be attractive and enticing for people to want to back you and invest in your project. Perseverance. Always.

I can echo what Jack says, it's good advice. To attract funding first you want to be in a position to show you have all your puzzle pieces and strategy planned out. You'll be better positioned to bring a strong Producer on board. Keep learning and keep going!

Start with a little self love

A very insightful and detailed description of film financing options! Great work Kay and thanks for posting Maurice!

You're welcome, Jack Binder. Going the influencer route is a great idea. I didn't know that was an option before reading this blog.

So many filmmakers wonder how to creatively get their films financed - this is a must read.

I love that Jodie is using her amplified voice to support the arts and arts in education. It is so important for the development of a human being and it's still suffering for lack of funding. Thanks for sharing Sandra Isabel Correia !

Thank you Maurice Vaughan its very kind from you: I appreciate that! I didn't thought about that! Thanks

You're welcome, Sandra Isabel Correia.

Niki H I agree; that's why I shared since I believe it's so vital. It also marks Mahalia Belo's directorial debut. It's important to raise our voices too. You're welcome!

Maurice Vaughan happy you are always there :))

Fantastic!!

This is a great post - Kay is so smart and has so much to share with this community. Thanks, Maurice Vaughan!

You're welcome, Sam Sokolow. I agree. Kay is so smart, she always has incredible resources to share with the community, and she's super encouraging, inspiring, and motivating. I've learned a lot from her, like how to give better feedback and how to use crowdsource funding for indie films (this blog).

Aww, thank you all so much! I really appreciate your kind words, truly. Stay tuned! I've got a follow-up blog coming out soon!

You're welcome, Karen "Kay" Ross. Looking forward to your follow-up blog!

Thank you Maurice. Yes, this is precisely why you see so many credits on independent, especially foreign (international) productions opening credits.

Producers pull together film financing from multiple sources: government funds, film tax incentives, grants, distribution, and finance partners. The industry nickname has been "Euro-Pudding" acknowledging the multiples of partners brought together to fund and distribute the production.

As European and other international producers and nations have not had the resources to fully finance large productions, for example extensive corporate and private equity pockets, they have historically funded production in this manner, cobbling together contributions from numerous entities. (I'll do another post on why there are so many producers listed on projects as I get that question a lot.)

You're welcome, Jack Binder. Thanks for explaining. "Euro-Pudding." Great name! Ok, looking forward to the other post. I tried to produce two features way back. I could've really used the information you're posting. I'm sure your posts will help new producers who are on here.

I am looking for help financing and producing a feature Comedy at 1-5 Mil production in RI and Quebec Canada - I am seeking co productions and/or co-producers.

LOVE this! Thank you so much, Jack Binder!

Really valuable post - great for people to get a better understanding of this model that we hear about almost every day. Thanks, Jack Binder!

Great article on the dedication it takes to make an independent film!

love these stories or resilience. thanks for sharing.

more please :)

Great share, Amanda Toney! I've never heard of the term "bridging money" before I read the article.

So interesting! Perseverance truly is key.

Man, does this make me feel better about my own struggles making our first feature! This is the part that really got me:

"Financing came via foreign pre-sales through STX International, the Italian tax credit, as well as private investors. As such, Ferrari’s credits reveal “a veritable conga line of producers”.

“It’s the best and the worst way to make a film,” notes Mann. “The best is we could control what happened and make the film. Having said that, it was a short schedule. It was a 56-day shoot; I shot it in 58. For a film of this scale, that’s short. Independently financed movies are usually $15m-$35m movies.”

Ferrari, which stars Adam Driver as Enzo — “we’re very similar,” says Mann of the actor, “we’re both committed to do whatever it takes to make a performance or film” — alongside Penelope Cruz as his wife and Shailene Woodley as his mistress, cost much more. Building the replica cars cost almost $6m. “Everybody cut [their fees], starting with Adam and myself. Penelope cut as well, so the picture was made by the will of the people working on the movie.”

The responsibilities of independent financing are “vast”, reflects Mann. “They are more than just legal and financial. There are actual people whose money has gone into the film at different times.” Two, Laura Rister and Marie Savare, provided “generous” bridging loans during pre-production. “You need bridging money to keep going, to set yourself up before you can finally close, which typically happens around the first day of principal photography,” says Mann. “In our case, we didn’t close until about the second week. If catastrophe had struck and we weren’t able to start, there was significant risk to both lenders. So there was an impetus to make sure this thing got made.”

Just incredible...

Great information!

maybe we should follow more the lead of Jason Blum production strategies

Great share! Thank you, Jack Binder!

Eilenberg is a super smart and talented executive. Great perspective and I trust what he says, Maurice Vaughan.

Great article - thank you for sharing!