Film financing

Film financing is an aspect of film production that occurs during the development of pre-production, Film financing includes goverment grants, tax schemes, debt finance, equity finance- goverment grants are when if i wanted to make a film and i had no money, i could apply for a grant of an agency witch is funded by the goverment in order to pay for costumes, acotrs, directors etc..../.Tax schemes are when say if you earn 150,000 and 50 perecent of it goes towards tax (75,000) so rather than paying that to the goverment , they can invest it into a film and earn more money of it.Another scheme is debt finance witch is were if a film involves george clooney or the director is quentin tarantino they no that there goin to earn around 50 million just because there well known and high class actors/directors.so with knowledge of that they will say to cinemas they know how many people (roughley) are going to see that film so if they want 50 percent later on , the company will say okay give us 20 % now and 30 % later on.This isnt the biggist scheme but never the less film companies use it (equity finance) - what is equity finance?- equity finance is an act of raising money for company activities by selling common or preferred stock to individual or institutional investors in return for money pain- shareholders recieve owners interests in the corporation.a certain example of investing or private equity financing is dragons den , were a person would come up the stairs with there project and try and convince them that its going to work in the future in order for them to invest, similar with film financing.

Another example of equity financing is james bond , simpley because aston martin pay the makers of james bond to have there cars in the films due to james bond being a big succsess and well known.