Film investments come in many forms. We tailor the perfect balance for each project.
TMC finances projects through senior/mezzanine debt, secured against sold/unsold territories. Loan amounts are conservatively calculated based on sales estimates provided by reputable sales agents, who are responsible for selling film rights to distributors in various territories either before or after the film is completed.
Film investments come in many forms. We tailor the perfect balance for each project.
TMC finances projects through senior/mezzanine debt, secured against sold/unsold territories. Loan amounts are conservatively calculated based on sales estimates provided by reputable sales agents, who are responsible for selling film rights to distributors in various territories either before or after the film is completed.
TMC can provide the following financing:
- Pre-sales contracts (senior debt): The total value of the sales contracts delivered by the sales agent can be discounted at TMC and used to produce the film. The value of each territory is determined by a sales agent who provides ‘bankable’ sales estimates, showing the highs, mids, and ‘take-prices’ for each territory. Once the film is delivered to the distributors, the loan and interest are paid back to TMC, the lender.
- Gap (mezzanine debt): The gap is the potential value of the unsold territories provided by a reputable sales agent. Once the film is delivered to the distributors, the loan and interest are paid back to TMC, the lender.
- Tax incentives: By producing in certain countries, film production incentives can be obtained by the government after the actual local spend has occurred. These incentives can be discounted and used as an extra source of finance for production.
TMC can provide the following financing:
- Pre-sales contracts (senior debt): The total value of the sales contracts delivered by the sales agent can be discounted at TMC and used to produce the film. The value of each territory is determined by a sales agent who provides ‘bankable’ sales estimates, showing the highs, mids, and ‘take-prices’ for each territory. Once the film is delivered to the distributors, the loan and interest are paid back to TMC, the lender.
- Gap (mezzanine debt): The gap is the potential value of the unsold territories provided by a reputable sales agent. Once the film is delivered to the distributors, the loan and interest are paid back to TMC, the lender.
- Tax incentives: By producing in certain countries, film production incentives can be obtained by the government after the actual local spend has occurred. These incentives can be discounted and used as an extra source of finance for production.