Film Financing

Government Grant


Government Grants are funds disturbs by one party, which is often a Government Department, corporation, foundation or trust. Often a a non profit entity, educational institute a business or a institute. In order to receive a grant an application is usually required.


Tax Schemes


Tax schemes are created which effectively sell the enhanced tax deductions to wealthy individuals who have large tax liabilities. The individual will often become the legal owner of the film. To avoid tax deductions people will put money into films.


Debt Financing


In debt financing the pre sales are when the film company will sell the script and cast in advance so they have the money to create the film. Pre sale works by the film companies purchasing well known actors so that more people will go and see it, this will almost grantee a consumer that they will get the money back in the interest. 


Equity Financing


In equity financing requires the film maker to sell interest in either the film or the film company in exchange for funding.This serves to distribute the risk of the project because the investor only receives this money back if the film shows a return.  If a film maker sells 50% of the corporate interest to a investor then the investor will lose his entire investment if the film is complete failure.