Bearth TV Series Fund
Producing a TV Series is far less expensive and takes a fraction the amount of time than a feature film. Online networks such as Netflix, Amazon, Hulu, and a host of other venues are constantly soliciting great content. The Bearth TV Series is great content based on the best-selling Bearth Trilogy.
The difference is that you have a chance to be part of the action and reap the benefits. 49% of the ownership of the Bearth TV Series belongs to this fan-based investment group. That would be you. Our budget is for the first season of 14 episodes, but ownership extends to the first three seasons.
When the network buys the series, you will get a profit-sharing check, based upon your percentage of the budget . In other words, if the fan-fund raised $100,000, and the cost to produce the season was $1 million, then the fan fund would get 10% of the profits from the sale of the series.
It’s that simple. The more you put in, the more you get out, when the series is bought. The downside is the series never gets bought, and you lose your money. The upside could be phenomenal, based on the revenues of a highly popular series. If you’ve read the books, you already know what we know. This is going to be great.
During fundraising, it is common for the filmmaker to set up an escrow account to hold investor funds. The money stays in the escrow account until the filmmaker raises the minimum necessary to produce the film. If the filmmaker cannot raise sufficient money within 1 year, the funds in escrow are returned to the investors. By depositing money in an escrow account, investors are protected because they know none of their capital will be spent unless and until all the money needed to produce the film has been raised.
Usually, investors are entitled to recoup all of their investment from first revenues before payment of deferments or profits. Many times investors are allowed to recoup 110% or more of their investment in order to compensate them for loss of interest and inflation. Profits are declared after payment of debts, investor recoupment and payment of deferments. Profits are generally split 50/50 between the producer(s) and the investors. Thus, investors who provide 100% of the financing are entitled to 50% of the profits. From the producer’s half of net profits are paid any third-party profit participants (e.g. the writer, director and stars).
Investing in a film is a highly risky endeavor. Investors should never invest more than they can afford to lose. The complete loss of your investment should not appreciably affect your standard of living.