“…a film where the proceeds are donated to charities that help battered women, the mentally ill and the homeless to transform their lives.”

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    Honor Films is a 50% owner in the film.

    Investors (Donations from the general public) is considered the other 50% owner of the film.         

    Honor Films considers the donations from the general public as belonging to the charity that it supports and will treat the charity as if it were an actual investor with a 50% share in the film’s profits. Let us say that the total money raised and spent on the film’s production is $200,000 U.S dollars

     A distributor loves the film then buys the films for $1 million dollars initially with more profit participation related to the film’s performance.  Out of the $1 million dollars, Honor Films will donate the first $200,000 (the cost of production) to the charities.  This leaves $800,000.

    Because Honor Films considers the charities as 50% owners in the profits of the film, the remaining $800,000 is split 50/50.  So a further $400,000 is donated to the charities, leaving $400,000 to Honor Films.

    Honor Films then donates 25% of that $400,000, which is $100,000, to the same charities. The rest Honor Films rolls into another production.

    The total that the charities will receive out of the $1 million dollar sale of the film is $700,000 U.S Dollars (70%) Subsequent money raised from other sales in domestic paid and free TV as well as foreign sales will be split on the same percentage lines. So on average about 70% of the film’s net proceeds will go to the charities for the life of the film, which in many cases can be 7 or more years in DVD sales etc.

 Finance & Profit sharing

Potential Profit Scenarios based

on the film costing $200K