To see their movie come to life, most filmmakers must search for potential film investors. They’re looking for the money mogul that will save their picture.
Unfortunately most of these filmmakers are seeking for investors in the wrong places.
I can assure you, after so many years of experience living, working, breathing and dealing in Hollywood, most young and aspiring filmmakers believe that there is secret places and organizations accessible ONLY to the minority of the bankable names and well-connected industry pros.
The true story is that these places exist.
That is the true story. The big difference is that they are accessible to everyone, and they are not a secret at all.
Because the most popular investors for movies are Paramount, Fox and Universal. Period.
The only obstacle here is that hundreds or even thousands of filmmakers need a little piece of their attention, and the studio system is slow and not so easily accessible to the wannabies.
But hang on, this is not the only way to get funded nowadays. And to be very clear, LA is not the only place that you will be able to find potential movie investors
Investors interested in a good project are anywhere - in the US or international. In fact, there are more millionaires in the United States than ever before. According to CNBC and Robert Frank, latest research shows there are now 10.1 million households in the U.S. with $1 million or more in investable assets.
So as you can see, you do not need to look so far to get what you need. All you have to do is to connect and build a business relationship with people who want to invest in movies.
But how to get those movie investors…
The true challenge here is to start solid research in order to find your potential people that will be willing to invest their money in your project. And your next challenge is to convince them to join you in this adventure that is moviemaking.
Usually films are intellectual properties. And offering only an IP without serious assets won’t be such a piece of cake if you want to find someone to invest just in an IDEA!
What will you need to attack and find your film savior? A few simple tools: your telephone and your best mood. Are you ready to start knocking doors? Begin with your network.
This is your best bet for starters. You might know someone who knows someone who heard of someone who knew someone that invested in a movie before, or has some extra cash he wants to invest in a good project like yours. Anyone with cash flow or credibility you need to consider him as a potential investor.
When you've identified your prospective investor, your next move -before you pick up the phone and call - is to get READY! Get ready means you need to absolutely organize yourself and be ready to present your project in the most perfect way.
Get a domain, build a simple website, and start your social media for your project. Even better, open an LLC with the name of the title of the movie, a business checking account and a business and marketing plan. After you are absolute ready stand in front of the mirror and ask yourself: “Am I ready?" Because in this country, "you never get a second chance to make a first impression."
Your next goal is to call their office and request a meeting: the Cold Call. Cold calling is used to attempt to convince potential customers who've never met you, to purchase either your product or service. You don’t need to feel intimidated. Do you know that most of these people get such pitches daily?
Welcome to the entrepreneur’s world
Because there's no difference between a start-up and your film. It's just your personal startup is your film.
The only difference here is that most of these people are new to the movie business, and this is not necessarily a bad thing.
You’ll have to spend time with them to educate them properly if needed, and build trust with them. It is not a one-day process. You need time to establish a relationship and to connect with anyone at this level. In order for someone to invest a serious amount of cash into your dream, they need to be absolutely convinced by this project of yours.
The secret here is to think like them. And what I mean is put yourself into their shoes. How would you feel if someone approached you asking for your $$$$$$$$$$$? What would you ask? What do you want to know? How could you trust this person? What do you expect from him or the project? BE PREPARED! This is the only secret.
Be ready to answer every single (or even weird and childish) question they might have. This is the moment where most filmmakers fail. Most filmmakers give up, get tired and lose the magic moment to get their movie funded. Unfortunately they give up at the very first challenge, or they go out there completely unprepared. Not ready to face the challenge of filmmaking. I’m pretty sure, if you never cold-called a potential investor before, you might think like, "Oh no way they'll be interested." That is not true!
Another familiar way these days to get your film funded, is through crowd funding. But also in order to raise funds, you need to convince a huge audience that your project is worth investing in.
When it comes to the money down the line you need serious preparation anyway. You will never know until you try it. You need to work hard and to be optimistic. Keep your faith up. Otherwise you will fail before you start.
It is important to be prepared as much as possible. Even try and have talent attached with la letter of agreement, who will do your movie when the budget is locked.
Plan ahead. Prepare a marketing plan and start the buzz way before you ask for a potential investor to commit to your movie. If you build a huge following in social media, such as YouTube and Facebook, twitter and Instagram, with thousands of people “liking” and “following” you, the potential investors will find your proposal more attractive. They will be convinced that more people share your point of view for your project.
At this point, going to pitch to a prospective film investor, you will make more impact if you are prepared in this way.
You can also start with a small crowd-funding just from family followers and friends. Do not ask for the full budget of the movie. Ask only for some cash to help you to get to the next level, that is, the level that will let you get fully prepared and well organized to find your potential film investor