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- Thread starter LenaK
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It's an insurance policy that guarantees a movie will be finished and delivered on schedule and within budget.yasyas said:
In general, a completion guaranty assures financiers that the producers will complete and deliver the film in keeping with the screenplay, budget and production schedule that the financiers approved. Or in the event production of the film is abandoned, the completion guarantor will fully repay all sums invested in the film.
For experienced movie makers - a producer or company who has a proven track record - the completion bond is a percentage of the total budget. For complete newbees it can often be a very high flat fee.
Completion bond guarantees a motion picture will be finished and delivered on schedule and within budget. A producer usually secures a completion bond for the benefit of the bank or other financiers. However, it benefits you as well, because
it improves your chances to finish film. A completion bond guarantees that the film will not have to cease production due to luck of funds.
Film Finances Incorporated
9000 Sunset Boulevard Suite 1400
Los Angeles, CA 90069
Phone: (310) 275-7323
Fax: (310) 275-1706
ffi@ffi.com
www.filmfinances.com
International Film Guarantors
10940 Wilshire Blvd., 2010
Los Angeles, CA 90024
Phone: (310) 208-4500
Fax: (310) 443-8998
Steve Mangel
smangel@nnng.com
www.nnng.com
See more on the site.
Best,
Lena Kirk
it improves your chances to finish film. A completion bond guarantees that the film will not have to cease production due to luck of funds.
Film Finances Incorporated
9000 Sunset Boulevard Suite 1400
Los Angeles, CA 90069
Phone: (310) 275-7323
Fax: (310) 275-1706
ffi@ffi.com
www.filmfinances.com
International Film Guarantors
10940 Wilshire Blvd., 2010
Los Angeles, CA 90024
Phone: (310) 208-4500
Fax: (310) 443-8998
Steve Mangel
smangel@nnng.com
www.nnng.com
See more on the site.
Best,
Lena Kirk
Lena,
Good info. My next film is my first feature, and if I borrow the funds from a specific source, they require a completion bond. It varies from 1.5% to 5% of the actual production costs. A good way to lower that cost is to hire a "bondable" line producer with a lot of experience. That way the "first time director" will have the experience of the line producer and the bonding company will feel more secure that the funds are being spent as promised in the line item budget (which they review and approve or make corrections as per the accepted funding procedures and projections)
Completiton bonds make everyone who is skeptical of the "first time director" breathe a little easier and in my instance, gets the funding finalized.
I spoke to the guys at film finances. They are very knowledgeable and come highly recommended by a few producer friends of mine who have used their services.
WC
Good info. My next film is my first feature, and if I borrow the funds from a specific source, they require a completion bond. It varies from 1.5% to 5% of the actual production costs. A good way to lower that cost is to hire a "bondable" line producer with a lot of experience. That way the "first time director" will have the experience of the line producer and the bonding company will feel more secure that the funds are being spent as promised in the line item budget (which they review and approve or make corrections as per the accepted funding procedures and projections)
Completiton bonds make everyone who is skeptical of the "first time director" breathe a little easier and in my instance, gets the funding finalized.
I spoke to the guys at film finances. They are very knowledgeable and come highly recommended by a few producer friends of mine who have used their services.
WC
You do run the risk of the people financing a film taking it over and replacing the crew. Since they're financing it, they technically own it unless it is very clear in the contract that they don't(in which case good luck getting their money). It's happened many time before that a director starts off working on something he wrote and worked on for many years, just to be replaced by another director when it gets into production. Look at what happened to Exocist: The beginning. That one director did the entire film, just to have the studio(the ones who financed it) bring in another director and direct the film all over again because it wasn't to their liking.
It's true. The bonding company can take over the shoot to protect their investment.Spatula said:
Some of you are looking at a bond as some kind of back up in case you run out of money. It's no such thing. It's an insurance policy that the movie gets finished. Not the the producer and director - but to the financiers.
If the bonding company has to step in and fund the completion of the movie they aren't going to be a creative partner, helping the producer and director complete their vision. If they have to step in, it's because the shoot is a mess. In most cases the producer and director will be fired and the bonding company will bring in (at much expense) a new team to finish it - and finish it quick.
A director who had to use the completion bond on a movie will most likely never be bonded again.