Funding your film – A personal journey of success and failure

The world of film finance can present itself like the Art of War, where only those who have the right weapons and strategy will win the battle and in this case, the battle is garnering funding for your film. Well, that’s how it felt for me when I embarked on my first feature documentary film, the African Movie Academy Award-winning film Malcolm’s Echo: The Legacy of Malcolm X.  Up until that film, I had been working in TV as a Producer/Director, where the rules of engagement were very different; the battle for funding was won based on selling your idea via a pitch, in person and on paper, and that’s where your vision for victory would be won. For example, when I pitched my documentary Bleach My Skin White to ITV, I didn’t have to think about how my film would fit into the market, in terms of proving I had an audience worthy of distribution. I didn’t have to consider how my investors would get their money back plus a premium, as the route to getting my film funded. Moving into the independent film space changed all that. Securing the bag needed weapons and strategy and here are the 3 main prospective funding avenues that will lead you to that win.  

• Grants and funding from Non-profits

Wherever you seek funding for your film you’re going to need your weapons of attack. I’ll call them the 3 P’s Pitch, Passion and Plan. 

Pitch: This is your creative vision, your elevator pitch and your Script/Treatment. 

Plan: This is your business plan, a living document that will help you foresee any obstacles. It’s a tool to ‘communicate’ and attract investment capital; a tool to ‘manage’ your goals and accomplishments. 

Passion: This is the drive you will need to be your film’s best advocate as you wade through the ‘No’s’ to get your ‘Yes’. 

When you go after grant money, the process will include a combination of all 3 P’s in the form of a Proposal. Foundations, which are Non Profit organizations aka 501(c)(3)s make grants to selected applicants through a grueling competitive process, which reminds me of back in the day writing my Psychology degree dissertation; it requires a refined approach and a huge chunk of time. Foundations who offer grants will usually see your film as a vehicle to drive their message, and so this is great for documentaries that aim to create a particular awareness on an issue that aligns with their mission. Lastly. if your going after grant money you’ll need a fiscal sponsor like Fractured Atlas or Women Make Movies to manage your funds. This is a good idea regardless of where you’re seeking money. For crowd-funding a fiscal sponsor allows an individual to give you a tax-deductible donation and for private investors, it presents a firewall between you, the project and the money. 

• ‘Private Equity’ Investment

A lot of filmmakers look for ‘private equity investors’ to fund their films in the US, this basically means someone or many people financially invest in your film. The money that they give you makes them an ‘equity investor’ and in exchange, they expect to recoup their money and get paid from the profits of the film, called a ‘premium’. It’s usual also for them to get an Executive Producer credit. Once you have your Pitch-Deck (pitch and script/treatment) alongside your belief in your film to turn a profit the next step is finding those investors. ‘Initial investors come from those who know and love you the most’ said Mary Dean The Wall Street Lawyer. Yes, initially you’d be best placed to ask Aunty Jess to get out their checkbook. That money will help you build a critical mass of credibility and maybe the money that prompts others to get involved. 

Once this ball gets rolling it would be wise to think about getting some competent counsel on board to compile the relevant documentation that is commonly called a “private placement memorandum. (PPM)” A PPM is an expansion of your Pitch-Deck which among other things includes investment risk factors, use of proceeds, accounting information, professional bios of key producers, crew and talent and most importantly, a clear financial map. All of this “makes someone commit to your package because business is business no matter what you’re selling” says The Wall Street Lawyer, “show me how you can make me my money back”. In my experience, an investor would expect a rate of return somewhere between 5 and 10% but beware I’ve spoken to filmmakers in documentary film where profit is unpredictable, and the equity investor has felt they are taking a big risk and demanded up to 35%. My main concern with private investment in your documentary is they can present a potential conflict of interest for a Network. However don’t let that stop you, just make sure you earmark funds for a lawyer and accountant.

• Crowdfunding your film

Crowdfunding is the new wave and one that Independent filmmakers are gravitating towards to fund their films. However, it’s easy to run into trouble if you set your fundraising goal too high. “I often tell people to create their outreach strategy before settling on a goal size,” said Liz Cook Mowe, Director of Documentary film @ Kickstarter; “having a sense of capacity to reach people will largely inform how much you can realistically hope to raise.”  Meeting with Liz was an eye-opener as I’ve used crowdfunding platforms and know what it’s like to fall short of a goal, after campaigning for over a month. There’s a reason Kickstarter “recommend a 30 day run time”. Less is really more here, especially for your mental health, trust me. 

If you’re like me, you don’t have an ‘influencer’ type presence on social media of over 10k+ followers on each of your platforms who will champion your film; “Of course, tell all of your friends and family about your campaign” says Liz “also engage with potential backers on forums outside of Kickstarter. Is it in Facebook groups? On Reddit? Blogs? Go down the rabbit hole!” Finding my audience for my current documentary #BreastPower365 surprisingly was less about finding black women and breast cancer groups, which are the focus of my film, but instead looking to groups that positively focused on ‘health, wellness and preventive care’.  Prior to launching you need to “become a part of the conversation happening within your community” says Liz “and not just barge in with a request for people's attention and support for your project. Share stories, news articles, info, etc.” Lastly, get creative with your ‘Perks’ the incentives you offer your backers encouraging them to donate “There are more than 26,000 successfully funded films on the site and many of these have incredibly cool rewards.”

So, now its time to ‘Be A Warrior’, go into battle and win that war by securing the bag and bringing your film to victory. Good luck.