My Executive Producer has informed me that my Screenplay will be getting investment for me to Direct...Now barring a disaster....Do I allocate myself a percentage of the budget, or does the Investors decide what percentage I should get???...Do I need to bring in an Enterainment Solictor for it etc???
Getting paid once Film Investment confrimed
- Thread starter derek smith
- Start date
I've yet to have actual investors </3 so I don't know if there is a formal way of going about it.
BUT if it's all up to you? (Which I mean technically shouldn't your Executive Producer be in charge of the budget?) I'd put aside a MODEST amount of the budget for your pay at the end. That way if you run into problems during production you can reach into your percentage as back up money.
Of course, this situation is implying you have more passion for the project than your paycheck... but yea.
BUT if it's all up to you? (Which I mean technically shouldn't your Executive Producer be in charge of the budget?) I'd put aside a MODEST amount of the budget for your pay at the end. That way if you run into problems during production you can reach into your percentage as back up money.
Of course, this situation is implying you have more passion for the project than your paycheck... but yea.
Things like this should be worked out before you even seek investment - how do you know what the budget is (and therefor how much investment you need) without knowing who is getting paid and how much?
Its my first Project, and I have no experience of working out the Budget. An Executive Producer was looking for Projects, and likied mine...Met with him, and been informed that his investors like the project, and they want to develop it....My apologies, I was meaning in orginial Comment, once Budget has been definetly worked out...At moment, I have been informed, the Project is going into development stage....Hope this makes it clearer
Both. You tell the investor how much you want. They tell you how
much they are willing to pay. Then you negotiate.
is there a rule of thumb for what percentage of the budget Writer / Directors ask for??? And for share of profits???
There really isn't. Each project is so different even a rough estimate
would be worthless. You need to figure out what YOU feel your script
is worth and what is worth it to YOU to direct. In some cases the script
is offered for a very low rate in exchange for being allowed to direct.
In you case it isn't one or the other so you need to think of what YOU
think is fair.
The EP likes your project. Use that to your advantage. That's what
development is; a discussion of how much the project will cost. Are you
afraid that if you ask for too much the investors will back out during
development?
But you don't what to hear any of this. You want a number. Ask for
5% of the total budget and 7% of profits.
haven't started discussing properly how much budget is...but as its my first feature, more concerned about just getting it made....but thanks for the information and reply
If your primary concern is getting it made, I'd personally ask for enough to cover whatever I'd be earning in a 'day job,' so I can finish it without going broke/homeless and be in a position to start working on my next project.
yeah, that's a good idea.....thanks...as ive no experience of directing, im feeling very very lucky ive just about guaranteed funding....so make this, does well, i'll be in a better position to negotiate next project
Yes you are. Since you are entering the development process with
an experienced ExecProd (who likes your project) and an investor
I suggest you do not go in with a number. You should expect to be
paid something for both the script and your time directing (don't
forget pre and post) but let the investor make the first offer.
yeah that's true...i'll probably see what the Producer mentions first regarding the Investors...but I spoke with a director from a project my producer worked on recently, was been told he's pretty stand up guy....so i'll just wait and see
very good advice, thank you.....One question on how it works....Once a Producer works out how much the Film will cost, Pre distrubition...and lets say the figure is £100,000, and Producer wants 5% and Director 5%...do they add their cost onto the cost of production, so official cost is £110,000...or is the Producer and Director fee, taken out of the £100,000?
The total budget - the number the Exec will ask for - already includes
the ENTIRE cost of the film. Everything. Including ALL fees charged by
ALL people involved. So if the figure is £100,000 that includes the
salaries of EVERYONE including the producer, the director and the writer.
The way it works is the producer does a full line item budget to present to
the investor.
hope don't mind me asking you one more question, and that will be that...already been more than helpful
1) Should the budget be agreed with the Writer / Director before going to the Investors incase he / she doesn't agree with the percentage of budget being paid to him?
If they're attached, hell yes. Especially yes with the writer since you don't have a movie without their script. As for the director, there's always a catch-22 problem with attaching a director. The right director will make the financing go smoothly, the wrong director may shut doors. If no one else can be involved with the film, make sure they're on board (and their price range) before you negotiate the budget with your investors.
The thing with reality, you're not going to have an agreement with each and every person on your team. Some people get replaced too. A budget is essentially an estimate. Not every line has to be accurate. Some lines are also padded so if something unforseen happens, you have a little extra to dip into.
Keep asking away. I'm happy to help.
There should be a budget before asking for money. You can't go to
a serious investor and say, “We need £200,000. But it might be
£180,000. We might need a bit more. Or we could do it for £50,000.”
You go to the investor with a complete budget. You show exactly
how the £200,000 will be spent – line by line item by item, down
to first aid kits and c-47's. And yes, the fee for the script and the
directors rate is included. The investor says, “I'm thinking of offering
closer to £150,000.” So you go back to the budget and see if you can
cut £50,000. Then you present a revised line item budget.
And this goes on until you reach an agreement. If you (the writer/director)
want to take less to make the movie happen, then you take less. If
the investor doesn't agree on what the writer/director is getting paid
they will give a number that think is fair. Then you take it or leave it.
In some cases (and I've been in this situation several times) a financier
will say, “I have £80,000. Put together a budget.” The writer/director
gets paid. In a typical line item budget the first line is the screenplay,
the second is the producing team and the third is the directing team.
In some cases the key players are on deferred pay. I don't want to take
up space here on what deferred pay REALLY is (ask and I'll go into it)
to keep the initial investment lower. In that case a percentage may be
the way to go.
It's difficult to know exactly what's going on in your situation but the
writer and director always get paid. You have an ExecProd who has
informed you that your screenplay will be getting investment with you
attached as director. That's good. So put together a complete budget
including the script fee and your directors salary. Then negotiate.