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“Raising money for movies”

Why Form A Production Company?

For many filmmakers, the first step in the production process is to create a business entity. There are several reasons to do this. The most obvious, of course, is to be able to raise money. But there are other reasons. Types of Entities The types of business entities that are most commonly used for film […]

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Raising Money For Your Movie from Investors

First of all, you need to be aware that raising money from investors is governed by securities laws. A “security” exists when a person has invested value in a common enterprise with an expectation of profit derived from the efforts of others. What this means is that someone not actually involved in making your film is giving you money because they expect your movie to make a profit and they will share in those profits. The upside for the filmmaker (and the reason most filmmakers like this method of fund raising) is that the investors are taking a risk with you and you don’t have to pay back the investment unless your film makes money. This article discussing the risks of raising money from investors.

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