Wednesday, January 22, 2020

Television Syndication Pre-sale

Television syndication also provides a production company with pre-sale financing. If the distributor is a financially sound company, the production company can obtain a production loan using the syndication agreement as collateral. The amount of the advance will depend on several factors, such as the particular star attachments, genre, budget and whether the film will be given a wide theatrical release.

Since a theatrical release (and the attendant advertising and promotional campaign) are important in creating public awareness of the film, which, in turn, translates into potential television viewers, the distributor will want the producer to make as serious a commitment as reasonably possible to the effort to obtain a theatrical release of the film.

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