Guest post by Yael Bergman
A few days at Strategic Partners, Halifax, Canada and a crash course at International Co-Production Financing.
I saw Ted in Toronto a few days before heading to Strategic Partners in Halifax, Nova Scotia, Canada. He suggested I write on his blog with what went on there. I am reporting back now…
I write this as an Australian producer who recently produced a romantic comedy in Australia called I Love You Too. It was completely financed within Australia, largely with Australian and state government investment, and the tax rebate (up to 40 per cent of Australian spend). We are fortunate in Australia to have this public funding as a resource, and whilst it is perpetually competitive, it is the way most film and television is made in Australia. It sustains the industry and ensures we continue to tell Australian stories.
My producing partner, Laura Waters, who is originally from Colorado but has lived in Australia for almost 20 years, regularly comments that she can’t believe governments actually give you money to develop and make stuff here. Well, it’s true!
To some independent American producers, this must sound like the gold pot at the end of the rainbow, but the reality is it’s a limited pool and the funding bodies (and consequently, the producers) are always trying to work out a way to make it stretch further.
One good way is via co-producing, i.e. we split the cost of making a project over two or more countries that has a vested interest, and then we can each claim it as our own as a “national film”. Arguably, the project should be culturally relevant to each producing country and there needs to be a fair split between creative elements and financial contribution, but on the whole, with a bit of juggling, it can work very well if the project calls for it. (NB: This applies for international producers entering into an official co-production with Australia, the project becomes automatically entitled to the Producer Offset rebate as an Australian project, up to 40% of Australian spend.)
[...]
Unfortunately if I sought to get compensated for the work I do, my movies would not get made. If I sought to get paid like normal people are, I never would have been able to produce any of my films.
I have been fortunate enough to have made about sixty films in about twenty years. I am not foolish enough to think I was the deciding factor in bringing good ideas into cinematic being, but I do know that certain practices of mine, have helped significantly. Yes, it is also true that good work begets other good work, and a track record certainly helps — particularly a track record of profitability — but generally all of my films depend on two things to get made: 1) superior quality of the material, and 2) the willingness of the collaborators to make great sacrifices.
There’s more though on why these films have happened; there have been commonalities amongst all the films that have helped significantly in their getting made. I have to repeatedly go out on the limb, believing in the film and the filmmaker for years on end, with no remuneration, pushing to make the project better, figuring out how in the hell to bring more “value” to it, shopping it, strategizing and the like.
[...]
22. Financiers are collaborating with each other. Groups like Impact Partners that provide regular deal flow, vetting, and producerial oversight for investors with common interests lowers the threshold number for investors interested in entering the film business. IndieVest is another model based on subscription, deal flow, and perqs. The high amount of capital needed to enter the film business has limited its participants. The film business has its own vernacular, and mysterious business practices. It is an industry of relationships. Collaborative ventures like this help to solve many of these threshold issues.
23. The US Government, at the city, state, and federal levels, recognize the positive economic impact of film production and have created a highly competitive market for tax subsidies and credits. The vast amount of experimentation in this field has allowed for it to grow forever more efficient. Although these benefits are designed to attract the highest amount of spend, and are thus most beneficial to Hollywood style models, the steady employment these credits have helped to deliver, develop a crew and talent base more able to also take risks on projects of more limited means. The “soft” money they provide a project is often key to getting the green light.
24. A greater acceptance of a variety of windows in terms of release platforms is emerging. Filmmakers were once the greatest roadblock to a pre-theatrical release DVD. Filmmakers are experimenting with everything from free streaming to the filmic equivalent to a roadshow tour. It is only through such endeavors that we will find a new model that works.
25. Industry leaders have said publicly that they will share the meta-data that a VOD release generates with the filmmakers. Although license fees have dropped considerably, filmmakers have new options on what to ask for in return. I spoke on a panel with two notable industry leaders who said they would put it in their contracts that filmmakers can receive and share the data the VOD screenings of their films generate. This information will become important the more filmmakers seek to maintain direct communication with their audiences.
This site could not have been built without the help and insight of Michael Morgenstern. My thanks go out to him.
Help save indie film and give this guy a job in web design or film!
