Crowdfunding
- finance to sustain an initiative from a large pool of backers (a crowd) usually made online by means of a web platform.
- anyone with an idea can post their project on a crowdfunding site, and appeal for funding from the public or internet community.
- for example:
- the most successful crowdfunding site is:
- Kickstarter
- passed $1 billion (£599 million)
- there are now over 9,000 websites registered with the word "crowdfunding".
- it relies heavily in community generosity and interest.
- these projects will often offer incentives to anyone who invests.
- to qualify for funding from the BFI, the project has to meet a strict set of criteria based on a points system to prove its 'Britishness''.
- many completed films never secure a distributor and do not get a release.
- projects by unknown writers and directors are rarely considered.
- Advantages
- easy money.
- anyone can open a crowdfunding project.
- could exceed required budget.
- filmmaking becomes accessible to public.
- creative freedom to spend money.
- creates sense of online community spirit.
- don't have to apply for funding.
- Disadvantages
- high risk when no professional experience.
- no intellectual property protection offered by the sites. Their idea can be taken/copied.
- might not meet expectations.
- tax - donations are a form of income and tax will have to be paid.
- cannot control time management.
- hard for potential investors to find you, because there are so many films on the website.
- you don't know where the money has come from.
If
celebrities use these websites, it may lead to more attention, more producers
looking at it, and more money being put towards it.
Celebrities
may look to these websites.
You can get
rewards ; signed photo, etc.
Example:
Faint Heart
(2008)
·
The
first feature film to be created using input from an online site.
·
The
production was a collaboration between Myspace, Vertigo Films and Film4 under
the name MyMovieMashup.
·
Cast
and crew members were recruited through Myspace and professional Viking re-enactors
were cast. Myspace has 120 million members world wide.
·
The
film was made outside of traditional film industry practises although it does
have professional input.
Myspace
comes out ahead. It gets a cut of the profits if “Faintheart” is a smash. If
not, it doesn’t lose any money as Myspace didn’t have to put up cash to get its
producer credit. That’s how eager Vertigo was to tap its user base who from a
ready made audience.
I think that
crowdfunding could change the way film financing in the UK works. Marketing a
film this way is more accessible for the public, and you do not have to apply
for funding. Some well known actors have already been involved in some of the
films advertised by crowdfunding, such as Benedict Cumberbatch. Because of
this, it is likely to gain more attention, and more producers will show
interest. Because there are so many films on crowdfunding websites, it may be
hard for potential investors to find the film they want to invest in, but if
there are more better known actors on it, there will be a higher amount of
investors looking, therefore creating more of a chance that your film will be
noticed, liked, and possibly invested in.
Because
social media holds such an influence over everyone’s lives at this point in
time, and it is likely it will continue too over the coming years, it is more
likely to be noticed by people accessing these types of media and seeing these
films. A great example is Faintheart, which was produced by Vertigo Films and
Film 4, along with Myspace, which is accessed by over 120 million members
worldwide. If films are advertised on these kind of social sites, especially
big ones like Facebook, Twitter, Instagram and Vine, then they will attract
more attention.
