Film Production Promissory Note with Guarantee

Introduction to Investor Financing Agreement

Securing financial backing is essential for getting a feature film into production. One of the most effective ways to formalize this process is by entering into a Motion Picture Investor Financing Agreement.

Investment Structure

Under this agreement, the investor commits to providing the necessary production funds. These funds will be deposited into an escrow account, ensuring that the money is safeguarded and only released to the production company after specific conditions are satisfied. A key condition is the execution of a film completion guaranty, which provides additional security for both parties.

Repayment and Profit Participation

Once the film has a domestic theatrical release, the investor is entitled to repayment of the invested amount plus interest, drawn from the net profits generated. Beyond recouping their initial investment, the investor is also granted the opportunity to share in the net profits, up to an agreed-upon percentage, providing a potential for additional returns.

Investor Rights

The agreement grants the investor significant approval rights regarding various aspects of the film’s production. These include the proposed budget, casting choices, selection of the producer and director, and decisions related to distribution. Such approval rights help ensure that the investor’s interests are protected throughout the filmmaking process.

Agreement Availability

For filmmakers, having the necessary funds is crucial to launching a movie project. The Motion Picture Investor Financing Agreement provides a comprehensive and editable contract template, available in Word format, which can be tailored to suit specific project requirements. Downloading this agreement for your contracts library is a practical step toward securing investment and moving your film project forward.

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Indie filmmakers can hire an agent to help find funding for their motion picture projects with this Finder's Fee Agreement to Obtain Film Financing.

• The agent will use best efforts to introduce the producer to parties interested in investing in or lending money for the development of the motion picture project.
• The agent's services are limited to identifying prospective investors or lenders, and do not include negotiating or providing advice.
• If the producer enters into an agreement with any potential investor introduced by the agent within 2 years of the Agreement, the agent will be paid a finder's fee.
• The finder's fee is based on the amount of funds raised. The more funds raised, the higher the percentage paid to the agent as a finder's fee.
• If the agent obtains 90% or more of the total financing necessary, the agent will get an executive producer credit.
• The agent agrees not to offer or sell any securities in connection with the financing, including stocks, partnership units, etc.
• The producer agrees to keep confidential and not disclose any information it receives from the agent about any potential investor.
• The producer indemnifies and holds the agent harmless against any claims, damages, liabilities or loss.
• As a filmmaker, you know how difficult it is to find investors. Buy the Finder's Fee Agreement template, sign up an agent and let the agent identify funding sources for you, so you can concentrate on making your movie.