What is used to calculate distribution fees?
Revenue
40%-50%
Dude, this guy wants me to invest in his film but I'm not sure what is standard in that kind of situation. So if I agree to give him the money, what 3 financial terms should I expect in return?
1. Recoupment of investment
2. Interest on the investment
3. A share of future profits
Marnie said that the business issue that Amazon is focused on these days is...
Whether to release more than 1 episode at a time
production costs
What percentage do distributors usually charge on theatrical revenue?
30% to 40%
A film distributor in Spain wants the local distribution rights to my indie film which she said would typically include the ancillary rights. Is that true?
No, typically the ancillary rights are not part of the foreign distribution deal.
Marnie said that to sell a show during a pitch meeting you need to _____
be able to sell it in 30 words or less...it has it be clear and easy to understand and have a strong longline
What is used to calculate residuals?
revenue from distribution windows
20%-25%
Stephen Spielberg has offered me a fee for producing his next movie but I'm suppose to choose the deal I want from these options...what is the best one:
A - 10% of the $1M budget paid upfront
B - 10% of the net profits
C - 10% of the $10M as a deferred fee plus 15% of the net profits
"A" is the answer
Marnie said that Amazon is similar to _____ because _______
Apple because content is not their main business
Deferred fees are typically paid as a percentage or fixed fee?
fixed fee
What percentage does the distributor typically charge on negative costs?
12% to 15% as overhead fee
The filmmaker that I gave my money to as an investment in their film said that I can
A - receive profits from the same pool of money that him and his producing partners are taking profits fro, or
B - receive profits from a separate pool of money with other investors while the producers share money from their profit pool.
Which would be standard?
B
Per Susan, how does Lionsgate "di-risk" a title
They take their film slate to international film markets to sell off foreign distribution rights to the film (they sell "all rights") for about 25 years in return for an MG - "minimum guarantee" from the various buyers
Lionsgate would sell the international rights (15-30 years) and keep the domestic rights to distribute it in the US
So they got their financing back for funding the project through the MG and thereby reduced the risk of the project not making money
Distribution fees
50%
Hey bro, I know you're an expert in this stuff after taking Hamilton's 235 class, so should I take the "first dollar gross" deal the studio offered me or ask for a percentage of the gross after "breakeven?"
HELP ME, I'M CONFUSED!
First dollar gross is a participation calculated on gross receipts, either prior to any distributor deduc-tions whatsoever (very rare), or minimal distributor expenses, such as checking fees, taxes, and trade association dues.
Gross after breakeven is a share of the remaining gross receipts after a distributor has subtracted its full fee and expenses, and after negative and P&A costs have been recouped.
Per Susan, what is contained in a Greenlight Model (name at least 2 elements) and what team circulates it?
General Plot
Territories of Rights
General Cast
[Revenue from Comp titles are then provided by her team to project possible profits the movie can make]