Film finance is an aspect of film production that occurs during the development stage prior to pre-production, and is concerned with determining the potential value of a proposed film. In the United States, the value is typically based on a forecast of revenues (generally 10 years for films and 20 years for television shows), beginning with theatrical release, and including DVD sales, and release to cable broadcast television networks both domestic and international and inflight airline licensing.
Film finance is a subset of project finance, meaning the film project's generated cash flows are used to repay investors, and generally not from external sources. This however has been met with new ways to protect principal, and insure against loss of investor's assets.
Read more about Film Finance: The Main Challenge, Typical Methods
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