Distribution : Distributors do what? by Donnalyn Vojta

There are lots of different distribution models so it's easy to get confused.

For the most part in the independent film world, a distribution company licenses territorial and medium rights for films, which it then relicenses or sells within those territories to other companies or distributes directly through their own channels.

For example, the major studios are their own distributors. They make films, then go directly to theatre chains, streaming services, retailers and vendors and negotiate release dates, numbers of theatres, DVD and BluRay releases and how much gross they'll get at each step. They also put up the money for promotion and advertising to generate viewer interest and awareness.

There are lots of independent film distribution companies as well, like A24, Lionsgate and Magnolia. These distributors sometimes will co finance films they believe will be successful in order to secure the rights to them early in the development process, But for the most part, they prefer to let independent filmmakers risk their own money, then cherry pick the best films each year then distribute them in a variety of ways depending on their own models and the individual films.

Generally, unless you have an amazingly attractive package in place, you will not get any money out of a distributor to make your film. They will play the wait and see game until you shop it or take it to festivals.

The distribution model is currently in huge flux though, so making an independent film with your own money is a bigger risk than it's ever been. Netflix is committing to making something like 90 films a year and the other big streaming giants are right behind which it's great time for filmmakers who get into that pipeline. But it also means there's going to be a huge glut of material and audiences are going to be a lot pickier in their viewing choices, so a lot of true indie films are going to get lost in the flood.

Hope that sheds a little light on the subject.

This helps A LOT, David! I really appreciate your time in sending this info to me.

Distributors are the people to BUY and SELL the film based on x of % from whoever is the original copyright owner of the film.. who directed it and who produced. In sales, producer /production company take 20-25% of the films’ gross revenue while other crew (except director) take 0-5%.

That is if a distributor of ANY MODEL is interested in buying off the film that was produced(usually made prior year),. It becomes harder every day to make money off any independent film than before, mainly because of independent productions like Magnolia, Duplass Brothers Productions, etc. In order to make money from films, as a producer you must understand that films are like businesses and in a business there are so many factors that play that breaks or booms the business.

Hope this answered your question, the more you know :)

Thank you, Adam, for your insight!