What is the average percent a producer usually gets from the gross profit a film makes?
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Jacob Siciliano I am going to have to say there is absolutely no rule of thumb. It depends what role that producer has in creating the film, etc. Are they a creator? Did they bring in finances? Are they being paid less than going rate? Are they being paid market rate (then they should get NO percentage)...
Whatever is negotiated, signed, sealed & delivered up front or as much as he/she can get if not negotiated up front.
Dan M, not a bad for day job...but I remain skeptical.
I recommend a book called The Biz by Schuyler M. Moore. The book discusses producer fees and how they relate to a budget. It is complicated and some producers use the producers fee or producers overhead charges in order to make an immediate profit on the film. Likely cause they expect no profits from the actual film's gross or net performance.
This fee can vary wildly depending on the film but their upfront fee is typically included in the budget. So, a 10M film that has a producers fee of 2M is actually a 12M budget. Same is true with famous actors when they sign on and their sticker price doubles your budget.
This however doesn't work when actors defer their pay. Then their salary is NOT included in the cost of the film and you don't benefit from them bumping up your budget and in turn, sale price of the film. So deferment of actors salaries can be detrimental in the long run.
Increasing the budget is not always a bad thing. The budget sales corollary can work in everyone's favor. When the budget increases, so does the opportunity for presales along with everyone's percentage based pay.
This only becomes a problem with the completion bond begins to vet the creative elements and expresses the usual concern over anyone who may be too green for where the budget eventually settled. That's where newbies will be kicked off their own film for the safety of the financiers. Happens all the time.
Yeah, you're going to have to define which "producer" you mean LOL. Executive Producer and Producer are the only ones who typically get points, but points can be given to anyone. ANYONE! LOL! Also, to echo earlier sentiments, I think what's more important is taking a look at the role some of your other collaborators play. If your writer is deeply involved in the production process, your production designer has some heavy lifting, you have a laundry list of EPs, all of those roles will whittle away at what you have to give.
it depends on if how many A list actors are taking back end and if the director is getting points as well. It's all about how the entertainment attorney's structure the deal.
How long is a piece of string? The variables are incredibly extensive.