Does the price of making the movie influence on how much a filmmaker could sell the movie for?
Yes, the production budget influences the possible distribution deal.
However, it is not the largest determining factor, which would be "How much money can the distributor make by distributing the film?"
For example, if I made a movie for 1k, would it have some sort of influence on a price negotiation as the same moie that was made for 100k. same acrtors, same locations, same special effects. The difference is only in budget.
Almost inescapably, as long as the difference is seen on screen a $100k feature is going to have greater intrinsic production value than a $1k feature even when using the same actors, locations, and SFX.
Where was the money spent if not on the actors, locations, and SFX?
If everybody got paid more then "No" it's not going to look better.
If cast and crew traveled first class to Fiji then "No" it's not going to look better.
If better costumes, makeup, props & set design, vehicles, video/audio/lighting equipment was used on set, color correction & grading, and the holy post production Dolby 5.1 audio mix are where that extra $99k was spent then the difference will be seen on screen and heard/experienced in theater seats.
Recognizing this vast improvement, the distributor knows the market for a $100k production film is greater than the market for a $1k film, all things considered.
So, lettuce consider the film itself...
Somehow, a $100k film about Grandma walking her dog to the corner Ace Hardware to buy a pair of gardening gloves probably isn't going to market any better than a $1k film of the same.
In fact, a $100k film about Grandma walking her dog to the corner Ace Hardware to buy a pair of gardening gloves probably has less marketing value than a $1k film about a ninja slut nun vs. zombies from Uranus.
Probably.
On other words, would it be advisable not to mention to distributor finished movie budget? Could it hurt the negotiation?
Depends upon the perceived market value of the film.
If the $1k or $100k feature looks like sh!t then the market is probably the same and the distributor will try to negotiate from the production value side of the argument.
If the $1k or $100k feature looks pretty darn good the distributor is still going to argue from the production value side of the argument but will be more inclined to be influenced by the market side of the argument.
Take some of those wretched films Troma distributes.
A film may cost $50k to make, but Troma may only pay the producers $3k for rights to distribute it for three years. Net loss for the producers. How much does Troma make in cross promotional revenue? Maybe $3k after expenses. Net gain for Troma.
A film may cost $1k to make, and Troma only pays the producers $2k for rights to distribute it for three years. Net gain for the producers. How much does Troma make in cross promotional revenue? Maybe only $1k after expenses. But still a net gain for Troma.
Same for the $100k film.
Bigfoot - $40k http://www.imdb.com/title/tt0834897/?ref_=fn_al_nm_1a
vs.
Yeti: A Love Story - $0.2k http://www.imdb.com/title/tt0765488/?ref_=sr_1
https://www.youtube.com/watch?v=b0wbdyGGsIc
https://www.youtube.com/watch?v=9AHLjjZbIKw
Two wildly different production costs (estimated), but who's to say Troma paid more for the distribution rights for Bigfoot than they did for Yeti: A Love Story JUST BECAUSE THE FORMER COST MORE THAN THE LATTER TO MAKE?!
Five bucks says they both got paid nearly the same for the distribution rights.
EDIT: upon further consideration...
Bigfoot - Published on Aug 12, 2012 - 26,666 views - 96 likes - 19 dislikes
Yeti : A Gay Love Story - Published on Jul 20, 2012 - 49,113 views - 425 likes - 55 dislikes
Which do you think was "more" marketable?
What you need to consider is the value a third party can bring to the negotiation: an attorney or agent.
Will the cost of the entertainment attorney be greater or less than the benefit he/she will provide?
If a $2k attorney or agent can negotiate a >$2k increase in your distribution rights contract then you have a gain.
If a $2k attorney or agent cannot negotiate a >$2k increase in your distribution rights contract then you have a loss.
It's the same as using a real estate agent to buy or sell a house.
When buying, if he/she can get the owner to sell for less than his/her % of commission then it's a gain.
When selling, if he/she can get the buyer to pay for more than his/her % of commission then it's a gain.
You could even argue this for the higher cost of a meatball Dolby 5.1 theatrical mix vs. dirt cheap DIY 3.0 home theater DVD mix.
WILLLLLL that extra expense increase your bottom line number?
Yes/No?
Pass/Fail?
Your vantage point is to keep the argument skewed toward the marketability side and NOT the production side.
And to complicate the deal making further, the distributor can do the lottery trick of offering more cash up front now and they retain all the gains above that - or - you can get diddly now and a percentage of whatever the film makes.
Trust me, the house always wins no matter what you decide.
Yes, it's just like a casino.
They just have more practice and experience than you.
GL!