This is technically a distribution post, but it is essential information for anyone putting together a project and talking to investors about potential returns.
The term "Waterfall" sound so nice. It's pretty, and tranquil, unless you're at the bottom, getting pelted with rocks and sticks, and an unforgiving torrent of pressure. So, in terms of investment recoupment, what is a waterfall and how should you represent it to your investors? This article from Entertainment Partners helps distill how this complex payment structure should work and gives you great info for your next presentation deck.
Go pitch great things!
https://www.ep.com/blog/the-beginners-guide-to-the-film-financing-waterf...
1 person likes this
Very helpful Michael Fitzer, Mfa - it's important to understand the concept and workings of a Waterfall for filmmakers in regards to investor and participant recoupment and profit sharing.