All kinds of investors can invest in films. While Hollywood studios finance many film projects, independent or indie films can make lots of money for investors. "The Blair Witch Project," with a production budget of just $30,000, grossed $248 million at the box office. Indie film franchises like "Halloween" and "Friday the 13th" made millions for their investors from the films and their sequels.
Instructions
1. Be an accredited investor, since only accredited investors may invest in film projects. According to the United States Securities and Exchange Commission, you need a net worth of $1 million or an annual income of $500,000 or more for several years as an individual in order to be an accredited investor.
2. Find your interest within the diverse field of indie investing. As diverse as film audiences, indie films include feature films, short films or documentaries, dramas, romances and mysteries. Brokers who specialize in this sort of investment can guide you.
3. Go with a known property, a traditional strategy in Hollywood for making money. Invest in known quantities: a successful producer, a director whose artistic vision you respect or a film from a bestselling novel.
4. Do your homework to find the reputable projects for your investment. As with any investment, know the field in which you invest. The film industry runs on reputation, so check out the reputation of the producer, director, cinematographer and actors. Team players with a history of finishing projects will likely finish yours, too.
5. Attend film festivals to meet indie producers looking for backers. Two good festivals to attend are the Sundance Film Festival and the Toronto International Film Festival.
6. Exercise patience in waiting for your investment to mature. Preproduction, production and distribution can each take a year or more.