Q. What is the IFR Film Fund?
A. Actually, there are three separate and different film funds.
Q. Ok. So, why are there three distinct film funds?
A. Well, there are three, over-arching steps in producing a film...
attaching talent, shooting the picture, and marketing it to the public...
with each step having its own fund to reflect its unique contribution in
producing and screening of a movie.
There are investments opportunities in three
areas
Film Development Funds |
Film Prints & Ads Funds | Feature
Film Funds
As customary in film making, there may
be opportunities for extra arrangements
concommitant with investment.
RISK CONTINUUM
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REWARD CONTINUUM
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The risk-reward continuum results from the payback position
within the customary "movie deal," whereby (1) the DEVELOPMENT FUND is paid
back when the the FILM FUND is fully subscribed... and (2) P&A and PROFITS are paid from box-office receipts, net the distributors
take, plus from other revenue sources such as video releases and ancillary outlets, with (2a) P&A
having the superior repayment position over the PARTNERSHIP which in turn (2b) has a superior position over the PRODUCER'S profit, if any, which
is without accured interest that other investors, except the disributors, receive per the individual fund agreements.
The "movie deal" is a time-honored and time-tested
investment system through which thousands of movies are produced yearly. While referred to as "customary," it is not
unusual that the customary deal is modified to reflect the specific investment opportunity and goals.