Investing in films has changed dramatically in recent years. For a long time, film partnerships were a discredited form of investment. But that has changed in recent years and today film investing is an established part of a diverse investment portfolio.
There are 5 compelling reasons for this:
1. The incredible growth of the film and digital media industries
A recent report in Slated Magazine sums up the current healthy state of the industry:
“In what has been billed as a ‘new golden era of film finance’, high net worth individuals and institutions alike have been suddenly magnetised by a compelling macro picture that is rippling across the planet: accelerating global demand for content, even more distribution platforms competing for those titles.
“Geographical expansion at the box office is only part of the picture. New technologies continue to carve open new outlets for viewing both at home and on the move, increasing the potential revenue- generating life of every title that achieves commercial distribution.
“The video streaming capabilities of web- enabled televisions, iPads, Play Stations, X boxes and the like, mean that films are reaching more people than ever before. PWC predicts that both box office and video streaming revenue will each continue to grow over the coming years.”
2. Government support
The Government offer two benefits to investors in films:
- 20% tax credits. The application of these has been widened in recent years and now include TV and games
- EIS and SEIS approval for film investments from HMRC
The Government is keen to support the film industry as it attracts valuable inward investment.
3. De-risking of investments
The film industry has learnt what investors want and have gone a long way to de-risk investments.
These measures include:
- ‘Pre-sales’ of films, so that revenues are assured, before a film is made
- The development of films and content for specific audiences, where there is proven demand
- Working with experienced and trusted people, who know what the market wants
- Creating funds that include several projects, rather than one-offs
- Availability of independent reviews of film funds.
4. The success of independent films
Many Oscar nominations are now for independent films. Their quality is being recognised and is in demand. The major studios are largely only interested in ‘blockbuster’ films, so the growing demand for content has to be met from elsewhere.
Film funds that can select quality and targeted content are now the natural place to meet this growing demand for content.
5. You can have fun with films
Films are glamorous. They have an aura about them. This is perhaps because most of us are not actors or film stars, and can only dream of being taking part in the making of a film..
But investing in film with Iron Box means that you can genuinely get involved. You will be offered opportunities to watch filming taking place and meet the cast. There may be opportunities to be an ‘extra’ in some of the films. And, of course you will be invited to the film premieres. We want you to enjoy the experience of investing in films.
Find out more
We would be delighted to talk about the investment opportunities in our fund. Please call Raimund on 020 7628 7587 or go to www.ironboxcapital.com.