Nick: How does a movie distribution company get money to make a movie?
Most good movies are going to cost around $ 300 million to make. How does a company like Paramount, or Fox get that kind of money? I understand that they’d use money from past movies, but what if it is their first movie? Do they just go to a bank and ask if they can take out $ 300 million?
Answers and Views:
Answer by Richard C
Investors…..when one sits at the table to hammer out a distribution and/or production deal, there better be a means to cover a portion or all costs. Studios are much more selective in the art of the deal.
They use investors and/or syndicates and sometimes actors use
their own fees and cuts as inputs .
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