Learn about financing structures, commercial deal terms, and distribution and delivery for the Business Essentials of Film.

Overview

It’s called “The Film Biz” for a reason — filmmaking is a business venture as much as it is a creative one. While your audience might not be thinking about the business infrastructure that made it possible to see your work on the big screen, your ability to manage stakeholders (financiers, talent, distributors, etc.) and the timeline of your project is the backbone of your work and can set you up for success or failure.

This Business Essentials of Film class with Sara McFarlane, Executive Producer and Business Affairs Executive, is designed for emerging filmmakers with a few short films under their belt or who are working on their first or second feature film for insight into the business side of filmmaking. Over the course of three sessions, McFarlane will dive deeply into financing structures, commercial deal terms for all aspects of a film’s lifecycle, distribution and sales deals and delivery.

Session 1: Corporate Set-Ups and Film Financing 101

Introduction to the business side of filmmaking – what it is and all the things it encompasses. This session will dive deeply into two of the most asked about topics: corporate set ups and financing structures.

• Corporate structures for various creative projects. When is it time to set this up and why?
• How the corporate structure interconnects with the project’s chain of title
• Types of film financing deals and the commercial, tax and legal considerations for each
• Understanding the key commercial deal terms and conditions precedent for each type of financing deal and an overview of associated financing agreements
• How to structure your cashflow schedule, balancing the need for availability of funds with the need to minimize co-financier risk
• The recoupment ‘waterfall’
• Profit participations and defining Net Proceeds.

Session 2: Production Deal Terms

• Understanding the key commercial deal terms for various development and production deals and the circumstances that will dictate what type of arrangement is most appropriate when.
• An overview of key chain of title development and production agreements, including Attachment Agreements, Collaboration Agreements, Option Purchase Agreements, Life Rights Agreements, and above the line production agreements

Session 3: Distribution, Sales and Delivery: You have an offer. Now what?

• Minimum Guarantees/Advances vs. Negative Pick-Up Deals
• Streaming vs. Traditional Theatrical Release Model
• Understanding key distribution and sales deal terms 
• Legal delivery to a distributor or sales agent
• Music licensing

GOTHAM MEMBERS: To enroll in this class with your member's discount, log-in to your Gotham account and enroll using the link in your Member Dashboard.

Instructors

Sara McFarlane

E/S Collab - Founder

Sara leads a smooth business affairs process for production companies, financiers, and film and TV productions. An Australian entertainment lawyer and experienced business affairs executive, Sara brings years of experience and a unique set of skills in executive producing, film financing, and production. Sara started her career at the Australian Broadcasting Corporation and See-Saw Films before moving to Fulcrum Media Finance, a specialist film financing company, where she worked on high-level financing transactions for film and television productions, including Academy Award nominated, Lion, Top of the Lake: China Girl, Mary Magdalene, Sweet Country and The Nightingale. After moving to New York in 2018, Sara worked with CinePointe Advisors, representing producers and handling above-the-line development and production business affairs matters for more than fifteen independent films, including,Jay and Silent Bob Reboot, The Half of It, I'm Thinking of Ending Things, On The Rocks, and Palmer, among others. In 2020, Sara founded E/S Collab, a boutique executive producing and business affairs consulting firm for creatives.