Welcome to the pitch deck for In The Strangest Of Places (ITSOP). As the writer and director, I'm thrilled to offer an in-depth look at the film's story, production process, and investment opportunity.
Jason Kirsch
Writer & Director, In The Strangest Of Places
A sex worker named Stella navigates the complexities of her identity as a trans woman and the defense mechanisms she uses to protect herself from harm.
Trailer
We have a team of influential executive producers from the LGBTQ community whose involvement helps ensure authentic representation of our characters and the world they inhabit.
— Jason Kirsch, Director
Director’s Statement
This video expresses deeper insights into the vision and creative process behind our film, as shared by the director.
Mood & Tone
Visual Aesthetics
The visual aesthetics of the film embody a unique fusion of beautifully melancholic expressions of melancholic emotion with vivid and visceral imagery of the chaos of Stella's life as a sex worker.
Atmospheric Elements
The visual atmosphere of the movie portrays the underbelly of society through a lens of acceptance, infusing it with a poetic sense of beauty.
Character Portraits
The characters in the movie are visually stimulating and pragmatically absurd, offering entertaining yet deeply grounded portrayals rooted in reality.
Melancholic String Score
The melancholic classical string score, with its haunting melodies and poignant harmonies, imbues even the grittiest of actions with an unexpected layer of beauty and profundity, transforming the mundane into a canvas of deep emotional resonance.
Learn More About Our Film Opportunity
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In The Strangest Of Places is a thought-provoking drama that follows the life of Stella, a trans woman working as a sex worker in Portland, Oregon. The film offers a raw and intimate glimpse into her world, where her daily struggle for acceptance and safety is a constant battle. Stella, portrayed with depth and vulnerability, navigates the harsh realities of her profession while grappling with her sense of identity.
At the heart of the story is Stella's identity as both a trans woman and a sex worker, which has been skillfully developed to protect herself from emotional intimacy with men. The story intercuts the periods in Stella’s life that build her identity to explore how her defense mechanisms and desires, initially a shield to protect herself from emotional harm, slowly evolve into barriers that isolate her from genuine connections and finding spiritual meaning. As Stella moves through the cool blue minimal atmosphere, neon-lit nights, and shadowy corners of the city, her interactions with the people in her world reveal the diversity of human desires and the profound loneliness and misconceptions surrounding her existence.
The film's core theme centers on the complex interplay between identity, desire, and defense mechanisms that the film highlights through the metaphor of a firearm used for self-defense. It poignantly illustrates how the very tools Stella employs to prevent harm also contribute to her emotional and psychological suffering. In other words, “the defenses she uses to protect herself end up nearly killing her.” Her journey is one of self-discovery, resilience, and the quest for true acceptance, both from others and within herself.
In The Strangest Of Places is a powerful narrative that challenges societal norms and invites the audience to look beyond stereotypes. It's a story of intense and personal struggle but also of hope and the relentless pursuit of one's true self in a world that promotes hollow desires rather than spiritual needs.
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As we live in a time marked by significant transformation, we turn to artistic expression for insights into the ensuing turmoil. This era is characterized by the diminishing significance of traditional societal constructs such as religion, marriage, and monogamy, giving rise to greater personal freedom. While this evolution grants us increased liberty to follow our chosen paths, it simultaneously poses the challenge of maintaining a harmonious lifestyle.
In this evolving landscape, pursuing individual desires is not inherently detrimental; it gives us direction and a sense of purpose. Yet, a tendency to disproportionately prioritize these desires can mislead us into thinking that their fulfillment is a panacea for our problems. The narrative artistry showcased in this film powerfully illustrates that simply achieving our desires does not equate to ultimate satisfaction. Often, our desires are driven by coping mechanisms formed in response to past traumas. This leads us to chase perceived solutions to our distress while failing to address and heal from the underlying traumas.
Our unresolved traumas, especially those from our formative years, can define our identity in terms of these specific desires. This results in defensive behaviors that paradoxically hinder us from obtaining what we truly need for a fulfilling life. Our attempts to shield ourselves from pain can inadvertently become sources of pain.
The film "In The Strangest Of Places" explores the profound effects of unresolved trauma on our lives. Its narrative steers us towards finding value in self-restraint and introspection rather than the relentless pursuit of desires. It proposes a spiritual practice to balance our innate desires with spiritual growth, ensuring our overall well-being and functionality. The film underscores the significance of fostering connections with others and our surroundings, highlighting that these relationships form the core of a meaningful and satisfying existence.
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With a growing global awareness of LGBTQ+ rights and feminine expression, there is a significant demand for stories that shed light on the experiences and challenges faced by transgender individuals and sex workers. Such films can contribute to greater empathy, understanding, and acceptance, making it an opportune moment to create content that resonates with audiences seeking diverse and authentic narratives.
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The target audience for this movie includes those interested in social issues, gender studies, or human rights. It may appeal to viewers who appreciate films that explore complex characters and challenging life experiences, often encompassing themes like marginalization, resilience, and the human condition. This audience might also have an interest in advocacy or awareness regarding sex workers' rights and issues faced by marginalized communities. Additionally, those drawn to thought-provoking, character-driven narratives or independent cinema may find such a film engaging.
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Executive Producer & Festival Circuit: We begin the film's journey by leveraging relationships to bring on a reputable Executive Producer who can help us orchestrate a targeted festival run at major film festivals. The festival circuit serves two primary purposes: gaining critical acclaim and creating buzz around the film.
Hiring a Sales Agent: Concurrent with the festival submissions, hire a reputable sales agent specializing in independent films. The sales agent will be instrumental in negotiating distribution deals, navigating film markets, and leveraging their network to promote the film to potential buyers.
Market Screenings: Facilitate private screenings for a wider array of international buyers, distributors, and press. These markets offer an opportunity to sell the film to territories worldwide.
Distribution Deals: Work with our sales agent to secure distribution deals based on the interest from festivals and screenings. These can range from theatrical releases to streaming platforms, TV broadcasting, and DVD/Blu-ray sales. Aim for a mix of domestic and international distribution to maximize the film's reach.
Promotional Campaign: Develop a robust marketing and promotional campaign in collaboration with the distributors. This includes creating press kits, trailers, and posters and leveraging social media and digital marketing to build anticipation and audience engagement.
Theatrical Release: If the distribution deal includes a theatrical release, plan a strategic rollout. This could involve a limited release in select cities to gauge audience reception, followed by a wider release based on performance.
Digital and Home Video Release: Following the theatrical run, or as the primary distribution strategy, if theatrical is not viable, release the film on streaming platforms, VOD services, and home video. Work with the distributor to optimize release windows and pricing strategies.
Ancillary Revenue Streams: Explore additional revenue opportunities such as international sales, airline and hotel entertainment systems, and educational distribution.
Long-term Strategy: Maintain the film's relevance through continued promotion, potential re-releases, or special edition home video versions. Engage with the film's audience through social media, Q&A sessions, and other interactive platforms.
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If this movie doesn’t get the mainstream distribution and recognition we believe it deserves, the backup plan is to distribute it through the highest quality global adult distribution channels. While this movie is NOT an adult movie, the subject matter and potential casting decisions have interested a handful of executives in this space who are interested in promoting this to their diverse global audience. In conjunction with a release on streaming platforms such as Amazon Prime Video, this will put the movie in position to be seen by millions, perhaps tens of millions of people.
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We are actively seeking equity investors who resonate with the vision and potential of our film. Investments are welcomed within the range of $15,000 to $500,000, playing an instrumental role in bringing our distinctive narrative to life on screen. Should direct investment not align with your current interests, we value referrals to potential investors who might be interested in our project. Investors who contribute over $50,000 will be credited as an “Executive Producer.”
Beyond financial contributions, we're eager to collaborate with partners capable of enhancing our film's marketing efforts or offering essential production resources, including unique filming locations, legal guidance, accounting services, and more. Both financial investments and in-kind resource contributions are pivotal to realizing the potential of our film.
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Once funding is secured for the independent feature film, the project will enter a structured timeline that spans over an entire year, divided into distinct phases. The first phase consists of 16 weeks of pre-production, where the team will focus on tasks such as script breakdown, casting, design and securing locations. Following this, there will be a 24-week period dedicated to the actual production, where the film will be shot. This phase involves the physical creation of the film's content, from capturing scenes to recording sound. The final phase encompasses 12 weeks of post-production and distribution marketing, which includes editing the film, adding special effects and soundtracks, and then marketing the film for distribution to audiences. This structured schedule ensures a cohesive and efficient approach to bringing the film from concept to audience.
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Expected Outcomes
The following are basic calculations of three possible outcomes of the film. Detailed financial information can be found in the supporting files.
Best Case Scenario:
Successful Indie film distribution and festival recognition
$2 million in gross receipts + $125,000 rebate
Total Investor’s revenue share = $979,000
$1.96 per every $1.00 invested
ROI = 96%
Potential Tax Savings = $.33 for every $ 1 invested
ROI (Post Tax Savings) = 129%
Likely Scenario:
Moderately successful Indie film distribution and minimal festival recognition
$200,000 in gross receipts + $125,000 rebate
Total Investor’s revenue share = $260,000
$0.52 per every $1.00 invested
ROI = -48%
Potential Tax Savings = $.33 for every $ 1 invested
ROI (Post Tax Savings) = - 15%
Worst Case Scenario:
Limited recognition & Self Distribution
$50,000 in gross receipts (streaming revenue/no distributor) + $125,000 Oregon state rebate
$0.35 income for every $1.00 invested
ROI = -65%
Potential Tax Savings = $.33 for every $ 1 invested
ROI (Post Tax Savings) = - 32%
For California residents in the 24% Federal Tax Bracket, a $15,000 investment on a film that didn’t get mainstream distribution would likely only equal a net loss of only $4,800. A $100,000 investment for California residents in a 35% tax bracket would equal a net loss of only $30,000 if the film doesn’t get mainstream distribution. This loss would be even lower for an investor who resides in a state that adopts IRS Tax Code Section 181.
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The following are basic investment terms that are more clearly explained in our investment contract
Total Budget: The total budget for the Film is $500,000.
Investment Range: Investors can contribute anything from $15,000 to $500,000.
Equity: Investors will receive equity in the Film proportionate to their investment relative to the total investment. The equity percentage will be calculated using the formula: (Investment Amount / Total Amount Raised By All Equity Investors) x 100.
Production Credits: Individuals who invest more than $50,000 will have the right to an Executive Producer credit on the film.
Oregon Film Cash Rebate: Approximately 25% of the money invested will be returned to Investors as part of an Oregon film incentive rebate. This rebate is expected to be paid within 4-6 weeks following the completion of production.
Funding Goal and Timeline: Production activity will commence after achieving a funding threshold of $125,000. If this funding goal is not reached by April 15, 2025, all investment capital will be returned to Investors.
Investment Process: Upon agreeing to invest, Investors will wire transfer their investment funds to the designated bank account of In The Strangest Of Places LLC
Restrictions on Withdrawal: Once funds are transferred to the LLC's account, there will be no distributions or reimbursements before production commencement of the invested funds without incurring a 20% penalty. Once production commences, investment funds cannot be withdrawn under any circumstances.
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As a valued investor in "In The Strangest Of Places," you will gain exclusive access to our dedicated Producers' Page. This secure, login-enabled platform is designed to keep you connected and informed, providing regular updates, behind-the-scenes content, and insights into the film's progress. Additionally, this interactive space offers a unique opportunity to engage directly with the producers through a dedicated chat feature, allowing you to discuss developments, share feedback, and be an integral part of our film-making journey. Your involvement and insights are not just welcomed, they're essential to the success of our project.
Supporting Files
Original Screenplay
Printable Pitch Deck
Full Synopsis
Financial Analysis
The Investment
We are actively seeking equity investors who resonate with the vision and potential of our film. Investments are welcomed within the range of $15,000 to $500,000, playing an instrumental role in bringing our distinctive narrative to life on screen. Investors who contribute over $50,000 will be credited as an “Executive Producer.” Investors contributing $15,000 - $49,999 will be credited as an “Associate Producer.”
Projected Return On Investment (ROI)
Best Case Scenario
129%
Likely Scenario
-15%
Worst Case Scenario
-32%
Projected Returns
Projected Return Timeline
The Details
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Once financed, the film will be eligible for the Local Oregon State Film Incentive Program (L-OPIF). The L-OPIF program provides rebates of 25% off goods and services bought from Oregon companies and 26.2% off paid labor on the film. This rebate is for "locally produced" projects spending more than $75,000 in Oregon up to a maximum of $1M. It requires that at least 80% of the crew plus speaking cast be Oregon residents (which it will) and that the project actively utilizes a credited Oregon resident producer or Oregon HQ production company (which it does). Total rebates are estimated to reach 25% of the total production budget and are paid out 4-6 weeks after the film is complete
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Most business expenses are capitalized (or deducted) over time through depreciation. Not films. Section 181 in the IRS tax code (Treatment Of Certain Qualified Film Productions) says that individuals are eligible to deduct 100% of their investment in a qualified film (which this is) against ordinary income in the year that they make the investment (2024) in the project instead of having to depreciate the cost over the useful life of the product.
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Production: $420,000; Post-Production: $50,000; Marketing & Distribution: $30,000
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The following details the standard structure of the indie film financing deal.
1. The filmmaking team raises money for pre-production, shooting, and post-production costs of the movie (the “Budget”) from various individual and institutional investors (“Investors.”)
2. Money is used for the production. All items of the budget are paid in full.
3. The Oregon State Cash Rebate is received within two months and immediately paid out to investors. This rebate is expected to total around 25% of production costs. 100% of these funds go directly to investors.
4. Once the movie is finished, a reputable executive producer is attached to the film who will help get the film into reputable film festivals and secure a sales agent.
5. The finished film is submitted to festivals with the backing of our executive producer. The sales agent works to sell the movie to distributors. If the film doesn’t fetch a buyer, the film will be self-distributed, and attention will be driven to the film through the influence of strategic alliances, the producers, and the cast.
6. Income from all sources is paid out as follows:
a. Distributors of the film deduct their fees and costs off the top of all distribution revenues, or “Gross Receipts.” Gross Receipts, less these distribution fees and costs, are paid to the film producer.
b. The producer first has to make good on any items contained in the Budget that have not been met and are paid in full on a pro-rata basis. Next, the Producer repays Investors the full amount of their investment plus a 20% premium.
c. Investors who own equity in the film are also entitled to “back-end” compensation from the Net Proceeds of the film and receive a further ROI, on a pro-rata basis, out of the “Investor’s Share” of the Net Proceeds. The Investor’s Share is 50% of the total Net Proceeds. The other 50% of the Net Proceeds go to the producer (the “Producer’s Share”). Any talent and other non-investor third parties who have been promised a back-end share in the movie are paid their percentage out of the “Producer’s Share.”
d. The Oregon state cash rebate is received within 4-6 weeks post production has finished. This money will be disbursed to investors on a pro-rata basis.
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The following are basic calculations of three possible outcomes of the film
Best Case Scenario:
Successful Indie film distribution and festival recognition $2 million in gross receipts + $125,000 rebate
Total Investor’s revenue share = $979,000
$1.96 per every $1.00 invested
ROI = 96%
Potential Tax Savings = $.33 for every $ 1 invested ROI (Post Tax Savings) = 129%
Likely Scenario:
Moderately successful Indie film distribution and minimal festival recognition $200,000 in gross receipts + $125,000 rebate
Total Investor’s revenue share = $260,000
$0.52 per every $1.00 invested
ROI = -48%
Potential Tax Savings = $.33 for every $ 1 invested ROI (Post Tax Savings) = - 15%
Worst Case Scenario:
Limited recognition & Self Distribution
$50,000 in gross receipts (streaming revenue/no distributor) + $125,000 Oregon state rebate $0.35 income for every $1.00 invested
ROI = -65%
Potential Tax Savings = $.33 for every $ 1 invested
ROI (Post Tax Savings) = - 32%
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This example demonstrates how, in a very low-budget movie, investors see a significant ROI even with relatively modest gross receipts for the film. The following is for illustration purposes only.
Your Investment: $15,000
Total Production Budget: $500,000
Oregon Film Incentive Cash Rebate: $125,000
Total revenue, including all streaming and distribution deals: $1,000,000
1. Four to six weeks after the film is finished, the production company completes an audit with the Oregon Film Commission and may be granted a cash rebate of up to 25% of total production costs. This money will be immediately distributed pro rata to investors. Investor revenue share: $125,000. Producer’s revenue share = $0.
2. From the Gross Receipts, the film’s distributor deducts the distribution fees and costs associated with the film's distribution. For this example, we assume that the distributor’s fees and costs total 1/3 of the film’s Gross Receipts. (This figure will vary depending on the policies of the distributor and the actual expenses associated with the film's distribution.). Distributor Fee: $350,00. Balance of Receipts: $650,000. Of the remaining $650,000 proceeds from the film, the Investors are repaid "first out," proportionally to their investment amount. They earn $375,000, which, combined with the cash rebate, allows them to earn their money back completely. Of the $275,000 extra ($650,000 - $375,000), 50% is paid to the investors, and 50% is paid to the producers.
3. As a $15,000 contributor to the aggregate equity investment raised by the film of $500,000, the $15K Investor is entitled to 3% of the Investor’s Share of the Net Proceeds and the repayment described above. $15K Investor’s revenue share: $19,125.
Pre-tax ROI for $15K Investor: $4,125 = 27.5% ROI
Post-tax ROI For $15k Investor (in 24% tax bracket): $4,125 + $3,600 = 52% ROI
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● Equity Investment: Investors will receive an ownership stake in the film's profits and rights. Profit-sharing will be proportional to the equity invested. Certain cast and crew may be entitled to equity rights in exchange for services devoted to production, but total investor equity will never fall under 60% of ownership.
● Equity investors will share the film's profits and revenue from distribution, merchandise, and streaming rights based on their ownership percentage. If additional funds are needed, all classes of equity will be diluted to facilitate new capital on a pro-rata basis. In other words, all investors have the same rights.
● Equity investors will be consulted on major decisions, but creative control remains with the production team.
● All investors will receive regular updates on the film's progress and financial performance.
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Timeline:
● An investment is maid and the film is funded
● Pre-Production and Principal Photography: 6-8 months
● Post-Production: 4 months
● 25% cash rebate is received and paid out directly to investors
● Marketing and Promotion: Ongoing, with major efforts before and after the film's completion and premiere
● Expected Profit Distribution: Begins after the film's release and continues over several years.
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The film Tangerine tells the story of a transgender sex worker who, after discovering that her boyfriend cheated on her while she was in jail, embarks on a quest to confront him and his new lover. It is considered a successful low-budget indie film.
The film incurred production costs of $100,000, $50,000 in post-production and $50,000 in marketing. Thus far, it’s made over $1.2 million from box office and DVD sales, and additional streaming revenue is estimated to be $1,000,000 and growing. Using the same formula as the example above (which follows the terms of this arrangement), a $15,000 investor would have earned $70,000 with checks coming in each year based on streaming figures. This is an ROI of 465% and growing.
Monitoring Your Investment
Our secure, login-enabled producer’s page is designed to keep you connected and informed, providing regular updates, behind-the-scenes content, and insights into the film's progress. Additionally, this interactive space offers a unique opportunity to engage directly with the producers through a dedicated chat feature, allowing you to discuss developments, share feedback, and be an integral part of our filmmaking journey.
Let's Talk About the Opportunity
Interested in investing? Just curious about the project. Schedule a meeting with our producer to get more details and see if this project aligns with your interests.
Support Our Campaign On GoFundMe
We understand that investing in independent film projects requires significant commitment. For those passionate about bringing creative visions to life but who might not be ready to invest at the $15,000 level, we invite you to join our community of supporters through our crowdfunding campaign.
Every Contribution Matters: Whether it's $5 or $500, your support brings us closer to our goal and plays a crucial role in our project's success.
Exclusive Perks & Rewards: As a token of our appreciation, backers will receive exclusive perks ranging from behind-the-scenes access to special mentions in the film credits.
Be Part of the Story: This is more than just a donation; it's an opportunity to be part of a unique cinematic journey and help bring a visionary project to life.
Visit our page today and explore how you can contribute. Together, we can make this film a reality.
Your support at any level opens up a world of possibilities for our film and helps pave the way for groundbreaking storytelling. Join us, and let's create something extraordinary together.
FAQs
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In The Strangest Of Places (ITSOP) is a compelling drama about a trans woman sex worker named Stella, who navigates the complexities of her identity and the defense mechanisms she uses to protect herself from harm.
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The target audience for a movie about a trans woman who is a sex worker includes adults interested in social issues, gender studies, or human rights. It may appeal to viewers who appreciate films that explore complex characters and challenging life experiences, often encompassing themes like marginalization, resilience, and the human condition. This audience might also have an interest in advocacy or awareness regarding sex workers' rights and issues faced by marginalized communities. Additionally, those drawn to thought-provoking, character-driven narratives or independent cinema may find such a film engaging.
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The total budget for ITSOP is $500,00. Once financed, the film will be eligible for the Local Oregon State Film Incentive Program (L-OPIF). Total rebates are estimated to reach 24% of the total production budget.
Equity Investors will receive an ownership stake in the film's profits and rights. Profit-sharing will be proportional to the equity invested. Certain cast and crew may be entitled to equity rights in exchange for services devoted to production, but total investor equity will never fall under 60% of ownership.
Crowdfunding Contributors will receive exclusive perks and merchandise based on their contribution level. Funds raised will primarily support marketing and distribution.
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While low-budget films cannot ordinarily attract famous actors, our approach for casting is to employ well-known adult film entertainers in dramatic roles. This strategy enables us to leverage their star power and established public profiles for enhanced marketing and publicity of the film.
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The production schedule for our film is planned to ensure a smooth workflow and a successful outcome. The initial phase, encompassing Pre-Production and Principal Photography, is estimated to take 8 to 12 months. This will be followed by 6 months dedicated to Post-Production, where the film will be edited, scored, and finalized. Marketing and promotional activities will be ongoing, with significant emphasis placed before and after the film's completion and premiere. As for the profit distribution is expected to commence post-release and will be a continuous process spanning several years, ensuring a sustained return on investment.
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With a growing global awareness of LGBTQ+ rights and feminine expression, there is a significant demand for stories that shed light on the experiences and challenges faced by transgender individuals and sex workers. Such films can contribute to greater empathy, understanding, and acceptance, making it an opportune moment to create content that resonates with audiences seeking diverse and authentic narratives.
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Executive Producer & Festival Circuit:
Begin the film's journey by leveraging relationships to bring on a reputable Executive Producer who can help us orchestrate a targeted festival run at major film festivals. The festival circuit serves two primary purposes: gaining critical acclaim and creating buzz around the film.
Hiring a Sales Agent:
Concurrent with the festival submissions, hire a reputable sales agent specializing in independent films. The sales agent will be instrumental in negotiating distribution deals, navigating film markets, and leveraging their network to promote the film to potential buyers.
Market Screenings:
Facilitate private screenings for a wider array of international buyers, distributors, and press. These markets offer an opportunity to sell the film to territories worldwide.
Distribution Deals:
Work with our sales agent to secure distribution deals based on the interest from festivals and screenings. These can range from theatrical releases to streaming platforms, TV broadcasting, and DVD/Blu-ray sales. Aim for a mix of domestic and international distribution to maximize the film's reach.
Promotional Campaign:
Develop a robust marketing and promotional campaign in collaboration with the distributors. This includes creating press kits, trailers, and posters and leveraging social media and digital marketing to build anticipation and audience engagement.
Theatrical Release:
If the distribution deal includes a theatrical release, plan a strategic rollout. This could involve a limited release in select cities to gauge audience reception, followed by a wider release based on performance.
Digital and Home Video Release:
Following the theatrical run, or as the primary distribution strategy, if theatrical is not viable, release the film on streaming platforms, VOD services, and home video. Work with the distributor to optimize release windows and pricing strategies.
Ancillary Revenue Streams:
Explore additional revenue opportunities such as international sales, airline and hotel entertainment systems, and educational distribution.
Long-term Strategy:
Maintain the film's relevance through continued promotion, potential re-releases, or special edition home video versions. Engage with the film's audience through social media, Q&A sessions, and other interactive platforms.
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The following projections consider public financial data from similar projects and calculations of tax deductions and the Oregon Film Incentive Rebate.
Best Case Scenario: Successful Indie film distribution and festival recognition $2 million in gross receipts + $200,000 rebate$3.57 per every $1.00 invested-ROI = 357% Potential Tax Savings (discussed below) = $.33 for every $ 1 invested-ROI (Post Tax Savings) = 390% + (depending on how the tax savings were invested)
Worst Case Scenario: Limited recognition & Self Distribution$20,000 in gross receipts (streaming revenue) + $200,000 Oregon state rebate $0.51 income for every $1.00 invested-ROI = - 49%Potential Tax Savings (discussed below) = $.33 for every $ 1 invested-ROI (Post Tax Savings) = - 16%
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Investing in movies is typically risky, but our film qualifies for the Oregon Film Incentive Rebate. This means 25% of our total budget is expected to be reimbursed within six weeks after spending ends. Additionally, the IRS Section 181 tax deduction mitigates potential losses. Even in a worst-case scenario, most investors in this project would face a maximum loss of 16% of their investment.
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All investment capital is put toward the film's planning, production, editing, and distribution expenses.
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Our approach to maximizing the film's success hinges on three key components:
Leveraging the LGBTQ+ and Indie Film Communities: Recognizing the unique appeal of our film within these vibrant communities, we aim to tailor our distribution and marketing efforts to engage these audiences directly. This targeted approach will boost visibility among a highly relevant audience and foster a deeper connection with the film’s content.
Utilize Industry Relationships for Executive Producer Attachment: We understand the value of having an established name in the industry backing our project. After completing the film, we plan to attach a reputable executive producer to the project. This relationship is not just about adding a recognized name to our credits; it’s about opening doors to top film festival access and garnering industry interest that can be pivotal for the film’s success.
Leverage A Diverse Cast Of High-Profile Adult Entertainers: While we cannot afford A-list mainstream actors, the filmmakers plan to cast several high-profile adult entertainers in the film. These entertainers connect to the subject matter, create attention-grabbing PR opportunities, and can promote the film to millions of loyal followers.
Each of these strategies is interlinked, creating a cohesive plan to ensure the film reaches its target audience and stands out in the competitive landscape of indie filmmaking.
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The film Tangerine tells the story of a transgender sex worker who, after discovering that her boyfriend cheated on her while she was in jail, embarks on a quest to confront him and his new lover. It is considered a successful low-budget indie film.
The film incurred production costs of $100,000, $50,000 in post-production and $50,000 in marketing. Thus far, it’s made over $1.2 million from box office and DVD sales, and additional streaming revenue is estimated to be $1,000,000 and growing. Using the same payout formula as our film, a $15,000 investor in Tangerine would have earned $70,000 within a year plus be eligible for receiving income each year based on streaming figures. This is an ROI of 465% and growing.
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If this movie doesn’t get the mainstream distribution and recognition we believe it deserves, the backup plan is to distribute it through the highest quality global adult distribution channels. While this movie is NOT an adult movie, the subject matter and potential casting decisions have interested a handful of executives in this space who are interested in promoting this to their diverse global audience. In conjunction with a release on streaming platforms such as Amazon Prime Video, this will put the movie in position to be seen by millions, perhaps tens of millions of people.
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Investors contributing over $50,000 to the production will receive regular creative decision updates and be credited as executive producers. For those investing smaller amounts, we will provide periodic updates on the film's progress, including behind-the-scenes photos and monthly emails. Additionally, we are open to collaborating with creative producers with a mutual fit.
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Most business expenses are capitalized (or deducted) over time through depreciation. Not films. Section 181 in the IRS tax code (Treatment Of Certain Qualified Film Productions) says that individuals are eligible to deduct 100% of their investment in a qualified film (which this is) against ordinary income in the year that they make the investment (2024) in the project instead of having to depreciate the cost over the useful life of the product.
For California residents in the 24% Federal Tax Bracket, a $15,000 investment on a film that doesn’t make any money would equal a net loss of only $4,050. A $100,000 investment for California residents in a 35% tax bracket would equal a net loss of only $14,000 if the film doesn’t earn any money. This loss would be even lower for an investor who resides in a state that adopts IRS Tax Code Section 181.
Also note that a film’s business is run through a Limited Liability Company (LLC), which allows for bonus depreciation at the LLC level, which may contribute to further tax savings. LLCs also pass through income/losses to the investor, so any revenue generated from the project will be taxed at ordinary income rates. Thus, the core tax benefit of investing in a motion picture comes from the ability to significantly reduce losses if the project is unprofitable and/or to exert control over deductions in a year where income is not ordinarily high.