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As paradoxical and absurd as it sounds, it's cheaper for a Hollywood studio to make a big-budget action movie than to make a shoestring art film like Sideways. Consider Paramount's 2001 action flick Lara Croft Tomb Raider On paper, Tomb Raider's budget was $94 million. In fact, the entire movie cost Paramount less than $7 million. How did the studio collect over $87 million before cameras started rolling? Loopholes in Germany's tax code are responsible for a good portion of Paramount's profits—an estimated $70 million to $90 million in 2003 alone. Best of all, there's no risk or cost for the studio (other than legal fees). Here's how it works: Germany allows investors in German-owned film ventures to take an immediate tax deduction on their film investments, even if the film they're investing in has not yet gone into production. If a German wants to defer a tax bill to a more convenient time, a good way to do it is by investing in a future movie. The beauty of the German laws as far as Hollywood is concerned is that, unlike the tax laws in other countries, they don't require that films be shot locally or employ local personnel. German law simply requires that the film be produced by a German company that owns its copyright and shares in its future profits. This requisite presents no obstacle for studio lawyers. Advertisement The Hollywood studio starts by arranging on paper to sell the ...

NRW.GermanFilmFinance.com is a joint undertaking of the Minister for the Media from North Rhine Westphalia (NRW) and the consulting company rmc rinkemeiden consult. The project aims to support national and international film makers in the acquisition of production financing and to encourage them to take advantage of NRW as a media location. By combining national and regional financing components, it is possible to finance up to 65% of the entire film project budget Compared to the total production budget, the highest level of financial assistance is available for production budgets from one to ten million euros. For higher budgets, higher absolute amounts of financing are certainly available, but the highest proportion of overall budget is available for the one-to-ten-million-euro range.   Their Film Finance Calculator represents a straightforward, anonymous and convenient way to calculate the amount of financing you would receive if your film (or portions of your film) were to be produced in NRW.   Just visit NRW.GermanFilmFinance.com for precisely linked important financing partners. At all times, you have access to the individual companies’ websites and contact details for all of your film project needs.   At NRW.GermanFilmFinance.com you will get to know more about their Premium Partners, and can view a comprehensive presentation of potential partners, be it for financing, production, technical or service requirements. Source- http://nrw.germanfilmfinance.com

Say, one day, you checked your Bank Account, called your family office planner, and after discussion with your financial advisers you decided to invest your proceeds from your latest company's Merger or Acquisition not into some dubious funds or start-up biotech venture, but into financing Hollywood films because you figure you need the State tax Credits, the Federal tax write-offs, as well as a nice hedge of revenues from a few movies. Now, this might not sound too well initially with your hedge fund manager or foreign fund investor but those are the same guys who are financing Hollywood movies. And the only question for you, how do you get in the game without feeling like amateur film financier without real profits. So having done your research, here's what you discover may be the opportunity to further enrich your affluent lifestyle even more- *Sergey Brin And Larry Page Of Google, Fred Smith, the CEO of Federal Express, Norman Waitt, the Co-Founder of Gateway Computers, Jeff Skoll Of Ebay, Todd Wagner (formerly of broadcast.com), Max Levchin Of PAYPAL, Marc Turtletaub of The Money Store, Roger Marino Of EMC Corp, former Chicago bulls co-owner Jim Stern, Sidney Kimmel Of Jones Apparel Group, Minnesota Twins owner Bill Pohlad; Real Estate Developers Tom Rosenberg,;  financiers Robert Sturm, Sheikh Waleed Al Ibrahim, Zeid Masri of SilverHaze Partners,Mark Esses, David Larcher, Michael Goguen, Michael Reilly, Rafael Fogel, and Philip Anschutz are just a handful of high net worth entrepreneurs ...

This website was launched with the specific purpose of being the bridge between an investor and a film production executive, to finance and produce British Motion Pictures.   The goal is to encourage investment in the burgeoning UK Film industry by means of public offering of shares under the Government's Enterprise Investment Scheme (EIS) The scheme's range of major tax reliefs often act as the initial attraction for potential investors but there are huge additional benefits for those investing into films. Benefits: - High Profile Film Projects that can and will be sold in each country worldwide - government tax relief (also loss relief if film does not regain investment) - you would be one or 'the' investor per movie and if wanted also receive a PRODUCER credit -you will be given the opportunity to be cast in the film - you will be able to inquire every day where the production films and come by to be on-set and meet with cast/crew if possible - you will be invited to the Film Premiere - you will also be listed on the IMDB.com (International MovieDataBase)  In other words you will receive a tax relief while investing in a UK-based movie project, and in the end also participate on the financial success of the film, which ROI (Return on Investment) could sometimes be several hundred percentT OPPORTUNITIES will match you with the right uk film production executives  and proposed films in development that ...

Cavalier Films, Inc. (the “Production Company”) is engaged in the development, production, and financing of motion picture films intended for theatrical release. The Production Company’s goal is to produce story-driven and thought-provoking feature films with mainstream appeal on a low-budget. The Company intends to produce and finance feature films with limited and controlled budgets, and considers investment in films principally produced by others. Emphasize is on the predictable, business-like return on investments, while positioning for the real possibility of windfall results Management Team Relevant (Film) History Mr. Sisson co-financed and worked with the production of a 2003 Sundance award-winning and widely loved feature film, “The Station Agent” (TSA). TSA was produced for under $1,000,000 and sold to Miramax for theatrical release As part of the process of developing and testing the Cavalier Films business plan, the Managers worked together to produce a low-budget digital feature film, “Charlie’s Party” (CP). CP is a comedy driven by its appealing subject matter and character development, and the comedic tension it creates. The film was completed on time and on budget for approximately $200k and is now in digital release, (download and DVD). The first film to be produced under the Cavalier Films Banner, “Familiar Strangers”, was filmed  in the fall of 2006. This film stars Shawn Hatosy, DJ Qualls, Cameron Richardson and Tom Bower among others. Because of their experience with these films and their previous successes in the entertainment and business worlds, the Managers are confident in their ability to create moving, intelligent films using good business practices, which fill the niche ...

When it comes to financing your feature film, Certainly you think about opportunities to make appealing movie to the audiences all over the world. Would you like to receive money to go towards your production budget, and have a guarantee that it will be shown to an audience? If so, then welcome to the world of film distributor advances and pre-sales. Presales are based on the script and cast selling the right to distribute a film in different territories before the film is produced. This is a primary means of film financing, especially when it comes to making bigger budget movies. Once the deal is made, the distributor will insist the producers of the film project deliver on certain elements of content and cast. You can receive a worldwide presale, domestic presale or foreign presale deal, but usually independent producers are most successful at attempting the presale of foreign rights. independent producers are most successful at attempting the presale of foreign rights. The amount given to filmmakers in the form of distribution advances varies depending on the selected actors, director and the specific film genre. As a general rule, producers can expect to raise 60% to 70% of their budget from foreign presales and 30% to 40% from domestic advances. If you live in America it can be a challenging task to secure domestic rights for a film project that is in development. Independent filmmakers usually have better success financing their films with a combination of equity ...

Footprint Films and The Route Groups combined forces to launch a vehicle that provides budgeting for production companies making films, targeting yearly return of 21% for investors. Film investments have traditionally been used for the tax relief but after legislations were abolished, interest decreased. Lisa Lambert, founder, business development and executive producer of Footprint Films said the idea  the for the fund came as a result of wanting to make film an asset class in its own right fund came as a result of wanting to make film an asset class in its own right. Thus a one-stop shop was created where top-end producers could get the majority of their budget. The Footprint Film fund is a five-year closed ended vehicle that sought to raise $22m before the offer period ends $21m during its first year. This would allow Footprint to invest up to $150m in global film projects. Lisa Lambert said: "I was working in the US looking for UK investors to help finance films. It seemed like an arduous way of doing it and I realized a lot of the time films were getting interest because of the tax relief and not because of the good films. With The Route Group, we decided we wanted to use film as an investment class itself and modernize a fund so investors get a good rate of return." Minimum investment was £50,000 and can be made in Sterling or US Dollar. Commission to intermediaries is ...

Filmproposals.com is very good spot for those serious about raising financing for their movie. It offers a wealth of tools, templates, information and resources, for both experienced and new and experienced movie producers. There are tools like film proposals and financial manuals, film financing excel template and business plan template. Film producers can find many investors through web site and learn how to communicate to maximize the film funding they raise. They also can showcase their film and get their own on the site. The site also provides tips for starting and making films.  The sit also provides free business plan opportunity. Producers also can get technical advises and assistance Source-  http://www.bloomberg.com/apps/news?pid=newsarchive&sid=aDMXKb0oqb34

Is sounds paradoxical and absurd but it's cheaper for a Hollywood studio to make a big-budget action movie than to make a shoestring art film like Sideways. Paramount’s experience displays this. In 2001 they used the German tax-shelter gambit. Loopholes in Germany's tax code are responsible for a good portion of Paramount's profits—an estimated $70 million to $90 million in 2003 alone. Best of all, there's no risk or cost for the studio (other than legal fees). In 1997, James Surowiecki explained why movie studios are a "lousy investment." David Edelstein says that Angelina Jolie is "the best special effect" in Lara Croft: Tomb Raider Here's how it works: Germany allows investors in German-owned film ventures to take an immediate tax deduction on their film investments, even if the film they're investing in has not yet gone into production. If a German wants to defer a tax bill to a more convenient time, a good way to do it is by investing in a future movie. The beauty of the German laws as far as Hollywood is concerned is that, unlike the tax laws in other countries, they don't require that films be shot locally or employ local personnel. German law simply requires that the film be produced by a German company that owns its copyright and shares in its future profits. This requisite presents no obstacle for studio lawyers. Advertisement The Hollywood studio starts by arranging on paper to sell the film's copyright ...

Indeed “Avatar” is great deal, but greater evidence of the movie industry’s invincibility can be found in the striking North American box office stats for “Alvin And The Chipmunks: The Squeakquel.” In four weeks, this film has collected over $196 million. Kerasotes Showplace Theatres LLC, and AMC Entertainment Inc, two private equity (Providence Equity Partners) -backed movie theater chains announced a merger Tuesday. Providence should see about a two times cash-on-cash return on the deal, according to a person familiar with the matter. Kansas City-based AMC has multiple buyout backers - J.P. Morgan Partners - now CCMP Capital LLC - and Apollo Management, which own 20% each; Bain Capital and Carlyle Group, which own 15% stakes; and Spectrum Equity Investors with a 10% stake. Chicago-based Kerasotes is much smaller than AMC, which owns 304 theatres that have 4,574 screens in five countries. Providence Equity, which invested $75 million in equity in the company in 2003, has already seen some returns, via a $30 million dividend that resulted from the proceeds of a $200 million sale-leaseback in 2005. The firm has invested additional equity since then. The Kerasotes family owns a stake in the company. AMC had $551.1 million in revenue for the 13 weeks ended Oct. 1, slightly down from $580 million in revenue in the same period last year. AMC tried to to go public through IPO. PE activity in movie exhibition has been picking up. Investment exceeded $200 million in equity. The buyout industry’s track record is vaguely comparable to the output of the ...

  After the crisis Lehman Brothers Holdings Inc Tokyo office’s some former employees went into film making.  A few of the 346,000 workers they fired invested their leaving pay in pursuing dreams. Especially Ivy League graduates are competing for backers among former colleagues, clients and a network that spans Asia’s investment, Ivy League alumni and independent film communities.  Nyari, 28, and co- producer Engin Yenidunya, a Yale graduate, hold a weekly fund raiser party called Havana café. Nyari and Yenidunya gathered more than $1 million for their first film “Wakiyaku Monogatari,” and have raised the same amount for their second, “Cut,” about a Japanese filmmaker who tangles with the Yakuza while trying to find money for a movie. Their production company, Tokyo Story, aims to give filmmakers outside Japan’s movie establishment a chance to make a feature. Orlebar’s first picture, “Lost in Love,” a semi- autobiographical love story that cost HK$1 million ($128,662), is set in Hong Kong, where Orlebar was living at the time. It was shot over the course of a week in August 2007 and screened at the New York International Independent Film and Video Festival and Toronto’s Indie Can Film Festival in 2008. Orlebar attented Hollywood film course whose former students include Tarantino and Ritchie.  Lost in Love” won a Gold Kahuna Award for excellence in film-making at the 2009 Honolulu International Film Festival, before going straight to ...

Huge Losses A film production firm applies to you and informs you that it is raising capital to produce a high-quality, low-budget family film with actors who are willing to perform their best for the sake of art. The films are to be produced by a notable filmmaker. They state that previous films were very successful and profitable. Even claim that they won prestigious awards too. Your money is guaranteed to be paid back with handsome revenue. It turns out the principals of the scam are also the "producers" and "screenwriters." They take most of the money raised and then use a small amount to produce a low-quality film that is unlikely to bring a profit, let alone be released commercially. They also diluting each investor's interest in the film and raising the break-even point for the partnerships. Even if a film succeeds at the box office, financial backers are usually the last to get their investment from the project. Given the success of any new network venture requires a rare combination of creative programming, an ability to get access to cable systems and an ability to draw viewers and advertisers profits are shared inadequately Potential investors need to be on the alert for such fraudsters said Jodie Bernstein, Director of the FTC's Bureau of Consumer Protection. "Unfortunately, titanic profits are reserved for very few investors or groups of investors; generally people who know the ...

The term non-correlated asset classes covers a whole range of potential investments, including venture capital, real estate, private equity, and commodities, but also alternative investment strategies. But in today's economy of crashing public equity markets, defaulting hedge funds, and non-existent real estate plays, one company believes investing in film slates, including theatrical distribution, offers a high yield alternative investment that can be leveraged with tax benefits and multiple sources of revenues including theatrical, DVD, video on demand, cable, and the foreign markets. As a non correlated asset class, films and film finance has outperformed every non correlated asset class in the world if you look at the more than $6 billion dollars poured into motion picture finance deals in the last 3 years, the IRR across the spectrum for both studios and independents are resilient to global economic declines in other industries. Many different film funds, many pension funds, private banks, hedge fund managers, private equity groups, and high net worth investors and family offices started to follow suit  of New York Hedge Fund Elliot Associates, and Dune Capital ( that invested more than a billion) to  enter the movie business. Investors from Wall Street to Silicon Valley to the Middle East to Russia have been investing their money into Hollywood Anil Ambani, Larry Ellison Of Oracle, Paul Allen Of Microsoft, and, financiers Sheikh Waleed Al Ibrahim, Michel Litvak, and Philip Anschutz, institutional investors Elliot Associate, Stark, Columbus Nova, Bain, Honeywell, and others.are all behind ...

Imagine investing in an alternative investment where you have a guaranteed rate of return of 35%-70%, before revenues.  Let’s also consider 100% Federal Tax Deductions of the same investment. Sound too good to be true? Well a Chicago film finance, production, and distribution company, Noci Pictures Entertainment, making films using an innovative hybrid tax, finance, risk minimization, and exit strategies that in some instances can offer a dollar for dollar Federal Tax Deductions, state income tax credits or rebates, a possible exit IPO on the London AIM., equity in a slate of films, as well as stimulating local economic development, and creating jobs, including for women and minorities. “I don’t know of any other alternative investment that can offer tax incentives, multiple exit strategies, as well as giving back to the local economy, while being involved with the moviemaking process", states Yuri Rutman, the head of Noci Pictures. “That would also increase long line of recent film funds that have been structured with numerous hedge funds, private equity investors, corporate tax credit buyers, and institutions". On the institutional side, familiar names such as CITIGROUP, Deutche Bank, JP Morgan, Morgan Stanley, Bank of America Capital Investors. Familiar individuals who are financing films include Larry Ellison, Paul Allen, the CEO of Federal Express, Norman Waitt, Philip Anschutz  and so on. The American Jobs Creation Act Of 2004, marked an unprecedented change in U.S. policy toward the phenomenon ...

The global audio visual sector was expected by analysts to be worth $1.3 trillion by 2008 and hedge fund managers have wasted no time in attaching themselves to the high return sector of film financing. Hedge funds investing in film, so far, include Mark Cuban, entrepreneur and owner of the Dallas Mavericks, and eBay founder Jeff Skoll, each have a fledgling film company. Billionaire Phillip Anschutz is financing big budget films, David Sacks, a founder of PayPal, financed "Thank You for Smoking," for $7.5 million, and it has worldwide gross of over $27 million. Real estate millionaire Bob Yari, is backing the production of numerous films. Bill Pohlad, a multi-millionaire  made "Brokeback Mountain" for $14 million and it has grossed $184 million worldwide. A recent $220 million deal with an individual producer included investors such as J.P. Morgan, D.E. Shaw, and GE Capital. George Soros also bought the DreamWorks library in a deal that valued the 59 film library portfolio at $900 million, later releasing all of them. Then there's the Tom Cruise/Wagner team, as a great deal with "two top hedge funds." The deal will reportedly provide $100 million in revolving funds, which will be renewed annually, with an option to up the funding to as much as $200 to $300 million per year. Now, 20th Century Fox is set to announce a hedge fund-backed film financing deal worth more than $520m thanks to the box office success of Borat and The Devil ...

Ever since Hollywood established its powerful hold over the global imagination, its leaders have sought outside investors to help pay for their movies. The list of these "civilians" stretches from William Randolph Hearst, Joe Kennedy, and Howard Hughes in the 1920s to Edgar Bronfman Sr., Mel Simon, Paul Allen, and Philip Anschutz in more recent times. The problem with such super-rich investors is that they want to participate in the selection, casting, and production of the movies. Other civilians, such as the thousands of investors in Disney's Silver Screen partnerships, sought only the tax-sheltering benefits. Yet, by the 1980s, those loopholes had been almost entirely eliminated by the IRS. Studios can borrow money, of course, but such debt does not look good on their books. Indeed, the studios face a perennial hurdle: how to get equity money that does not dilute their shares or their control. Isaac Palmer, a young senior vice president at Paramount, came up with a brilliant solution. Studios could offer hedge funds a cut of their internal rate of return. This internal rate of return is not limited to so-called "current production," or the theatrical releases, on which studios almost always lose money. Rather, the rate subsumes every penny the studio makes from every source—including pay-TV, DVDs, licensing to cable and network television, in-flight entertainment, foreign pre-sales, product placement, and toy licensing Minimal return was 15 % This return also included the profits from more arcane ...