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After investors are made whole, the leftover profits get split—often 50/50 between investors and producers. Sometimes, points go to actors, directors, or others who deferred pay. Transparency = trust.
After investors are made whole, the leftover profits get split—often 50/50 between investors and producers. Sometimes, points go to actors, directors, or others who deferred pay. Transparency = trust.
Investors are repaid their original investment first—often with interest. If they put in $1M, they might see $1.1M before profit sharing begins. That repayment comes before anyone else earns profit.
Investors are repaid their original investment first—often with interest. If they put in $1M, they might see $1.1M before profit sharing begins. That repayment comes before anyone else earns profit.
Whatever’s left after distributor costs and fees goes to the producers (or a collection account). This pool is what pays back investors and anyone owed money from production.
Whatever’s left after distributor costs and fees goes to the producers (or a collection account). This pool is what pays back investors and anyone owed money from production.
Once costs are covered, the distributor takes a fee—usually 20–35% of the remaining money. This is their cut for managing sales and securing deals before anything moves to producers.
Once costs are covered, the distributor takes a fee—usually 20–35% of the remaining money. This is their cut for managing sales and securing deals before anything moves to producers.
Next, the distributor collects what’s left—but first, they deduct expenses like marketing, posters, shipping, and ads. Only after those costs are recouped does “net revenue” get calculated.
Next, the distributor collects what’s left—but first, they deduct expenses like marketing, posters, shipping, and ads. Only after those costs are recouped does “net revenue” get calculated.
When your film hits theaters, they take the first (and biggest) slice—around 56% of box office. For every $10 earned, $5.60 stays with them before anything flows to the distributor or producers.
When your film hits theaters, they take the first (and biggest) slice—around 56% of box office. For every $10 earned, $5.60 stays with them before anything flows to the distributor or producers.