I was working very hard getting through this funding deal for my road trip feature film, but unfortunately it fell through. The guy wanted $9k up front money, you never pay upfront money unless you know who you're dealing with. The trigger was when I said no, he said you can pay half now and half later, red lights went on, so I dropped the deal. Now where am I going to get 3 million from? Oh well, back to making shorts.
Producing : No upfront allowed by Rick James
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Not sure what your position was in this deal, but a certain amount of funds are generally made available once a project is green-lit. The funding comes in stages (at least where indies are concerned). There is a set amount for Prep (for hiring crew, securing equipment and locations) and then, as you near your start date for principal, your next payment arrives. If you were the investor, it's acceptable to be asked for a specific, pre-determined amount to be deposited in the LLC account as starting funds, followed by either a complete payment for the whole of Shoot and Post or two more stages for each depending on the investor agreement. I guess I'm confused about why YOU appear to have been asked to put in money while you're asking on this post where you will find money.
This was a foreign investor, the upfront money $9.9k he asked for was, he said, licenses, permits and fees to the government to do business in his country. I'm aware of everything you mentioned I'm a filmmaker seeking funding. My lawyer advised caution on this deal, because the agreement included a clause saying I agree to pay all expenses outside of the deal that may accumulate during this deal. It did not list a financial number, my lawyer said it could be any amount and more fees could follow. Reluctantly I agreed.
Yikes. Yeah. The guy sounds like a crook. Be glad you escaped.
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Oh man I am. Thanks. Good news. Another investor read my post here in America and is waiting for the screenplay and the Executive Summary.
run
Oh yeah.
Sorry about the deal falling through. Is it allowed on here to let people know who/which company you were dealing with so they're warned? We hope your project will land on its feet!
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Eveliendorien, it was a private foreign investor, he is a banker and this was his first venture into American film investing. He was a really nice guy, I have nothing bad to say, but he didn't understand how we do biz here and my lawyer advised against his deal. As i mentioned earlier, his deal had a clause that I pay him the 9K plus any other expenses acquired during the transaction. Are you kidding I asked, that could be any amount. I asked him, why couldn't he pay the money and take it back off the top. When he said we don't do it that way and I should have understood how to handle foreign transaction. I said, well I do now and I'm not interested in this deal anymore, I'm out.
I'm trying Vitaly.
Thanks Vitaly, I have.
You did the right thing by getting out of there Ric! It all sounded a bit dodgy. I am a composer and my fees have always been 50% payable up front and 50% before I deliver the master. There has never been a quibble about this - but the difference is that my name is out there and I am visible on social networks. People can not only see that I am a real person, but also that I would be taking a massive gamble on my reputation at these networks if I was dishonest in any way. By the sounds of it, your new investor was reputable, how did it go with the production? Cheers, Gareth
Thanks Gareth, the production is now self funded and progressing slowly, but at least it's happening. I had the flu and lost 2 weeks recovering, just taking my time and doing it right. What type of music do you do? Do you do movie themes? Not canned stuff, but music that is timed to the scene?
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I do indeed Ric, I specialise in composing dramatic scores and am looking for my next short. Here are two of my latest pieces: Rise From The Ashes - https://www.youtube.com/watch?v=IzPOXgLX4b0 and The Fire Inside - https://www.youtube.com/watch?v=OsD6Lm5aUxY Sorry to hear that you have been under the weather chap, I do hope that you pull round soon. Self funding is certainly a way of getting it done, and that is the main thing. Don't give up, keep pushing, just a little bit every day, and it WILL get done. Well done for sticking with it.
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Oooooooh! Aaaaaaaaah! Just peeped your work, I'm luv'en this!
:) Thank you Ric
Will there be a need for voice over?
Let me get back to you on that Steven.
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Sorry Steven I said I'd get back to you and I took awhile to do it. I work on productions and use that money to fund mine, so I'm always busy. Send me a link to your work and let me give it a listen. I'm in the process of hunting for the right voices for my sci-fi animation. My email is rjmmtv_206@msn.com. http://gentaldragon.deviantart.com/art/THE-TYGRE-FAMILY-promo-indevelopm...
When you say up front money, do you mean to guarantee funding or to retain a producer for his efforts, with no guarantee of funding ? Plenty of producers expect a retainer with no guarantees. Up front.