Accredited investors looking to diversify their investment portfolio can attain their objectives through film investment companies and entertainment investments. When it comes to film investments, there are two kinds of investors- active and passive. While active investors have industry connections and take active participation in the production of a film, passive investors are high networth individuals who simply fund the production and take a share of the profits. If you are looking to venture into entertainment investments without having to do the heavy-lifting like active investors, get in touch with established film investment companies and investment consultants like Main Oak Capital. Continuing on the subject, in this post, we share a simple guide to understand investing in the film industry. Read on.
Why to Invest in Films
The primary reason to invest in films, which is true for just about any investment, is the potential for a lucrative payout and strong ROI. That being said, investing in movies comes with its downsides too, making it important to choose experienced investment consultants to ensure that you take calculated risks and minimize the potential of a huge downside. With the growing number of film productions and expanding streaming services, there are endless investment opportunities for accredited investors looking to venture into new horizons.
Factors to Consider Before Investing
When investing in film projects, it is necessary to do your due diligence to ensure that you are putting your money in the right place. While partnering with experienced film investment companies, such as Main Oak Capital, can help you make sound investment decisions, it never hurts to do your own groundwork and stay abreast with what’s happening with your investment. Here’s a quick overview of some important factors to consider before investing:
- Reputation of the film producers.
- Experience of the filmmakers and crew.
- Talent involved in the project and the market appeal.
- Quality of the story, screenplay, and team’s capability for flawless execution.
How to Get Started
As we mentioned earlier, there are two ways to get started with film investments – you can either be an active investor or a passive one. While playing the role of an active investor is quite demanding and may require you to possess relevant industry knowledge, being a passive investor is hassle-free and simple. Generally speaking, filmmakers raising money through outside investments from passive investors will do so using a PPM (private placement memorandum). All you need to do is find a reputable entertainment investment company such as Main Oak Capital to get started.
Wrap Up
Entertainment investments, be it film production or music production, require investors to go through various aspects of film financing, including tax incentives, talent agreements, and distribution plans, among others. Although doing all the aforementioned tasks may seem like an uphill battle for an investor who is new to entertainment investing, seasoned investment consultants such as Main Oak Capital can do all the heavy-lifting for you. To learn more about the perks of being an entertainment investor and discover exciting opportunities in film and music for accredited investors, call (972) 544- (1645) or write to us at info@mainoakcapital.com and we will take it from there.
