This is one of the most common questions filmmakers ask. “How do I meet investors?” “Where are they?” In frustration, filmmakers spend huge sums of money attending events such as The American Film Market, imagining that if they take their idea, their script and their dreams, they will run into investors there, or producers who will raise money for them.
The first thing I might say to these filmmakers is to slow down a little… And to consider, “When I meet this investor, what will I say? Will I tell them how great my script is? Will I tell them how many shorts I’ve made? Will I tell them what a great idea I’ve had?” I’d love for you to ask yourself this question: “On the day I meet an investor, what will I say?”
The fact is, that most filmmakers are not prepared to have that conversation. And this is how I would explain it to you. If you cannot show the investor how investing in your film is a better idea than investing in, say, real estate, you are not ready for that conversation.
First, Filmmakers often make the mistake of believing that if someone is rich, they will invest in films. But the reason people get rich is because they invest in projects that make them money. How will you show this investor that they will make money on your film?
Secondly, people who invest in projects know that if they invest in your film, their money will be tied up and therefore, that money will not be available for use elsewhere and making money. How will you explain to them when they will be getting their money back?
And thirdly, a common mistake filmmakers make is to believe that the reason someone would invest in their film is because of the story they are telling. Unfortunately, this is not the case. The #1 reason that an investor will be interested in investing in your film is because they know it will make them money. Now it is true that investors will be attracted to projects that have great stories, great scripts, will win prestigious awards, offer potential red carpet experiences, and opportunities to meet celebrity actors and creatives. But all of these elements will only be attractive if and when the investor can be absolutely convinced that they will be making money on that film.
So are you ready for that conversation? Can you show investors the marketability of your film? Can you demonstrate how large an audience your film will have? Can you tell the investor the value of your film? Can you show them when they will make their money back? And how? If the answer to any of these questions is no, then you are not ready.
But don’t despair. We are here to help. Please join us on June 29 & 30, 2023, for a workshop called: “Finding Investors For Your Next Film,” where you will learn how to avoid these 3 common mistakes and prepare yourself to be ready for that important conversation with your first investor. (Surprise guests to be announced.)
joannefilm is Joanne Butcher, a film business coach with a roster of clients that have over 100 feature films in various stages of development and over 15 clients with feature films in distribution, as well as one client with a series on PBS. She has experience consulting on over 40 successful crowdfunding campaigns. She uses her decades of experience as a fundraiser in multiple sectors through her business, Filmmaker Success, where she runs The Film Box Office S.U.C.C.E.S.S. FormulaTM and The Virtual Fundraising Team to help filmmakers and non-profits change their way of thinking, raise money, and achieve their goals.