Elementary: How to start a Production Company

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Elementary: How to start a Production Company

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In the film industry, it can be overwhelming to start your own production company. With your own production company, you will be able to produce film and TV projects that motivate you from within. While anyone can start a production company, there are lots of business aspects that seem confusing and tedious to an average person starting a production company.

However, with the correct decisions and a little effort, you can make it happen. Laying down a proper foundation is important for a new production company to grow. Here, we will discuss important steps to successfully start a production company in the modern age. Let’s get started.

What is a Production Company?

A film production company is an organization that works to produce video content for TV, social media, commercial, corporate promotions, and other fields related to media. It produces content like feature films, music videos, TV shows, and more.

Generally, production companies create two kinds of projects i.e., the content they generate themselves using their creative team and the content they are hired to produce physically without any participation in the development process.

How to start a Production Company

Starting a film production company can be an intimidating task, but if you complete these steps, you can set your production company up for success.

Define the niche for your company

When you think about starting your production company, the initial step is to determine your niche. In the film production world, there are lots of niches and it is important to choose the right one for your success. Are you interested in commercials? Documentaries? Feature films? Or Music videos? When you find out what type of films you want to make, you can start your production company.

Choose a company name

When naming a production company, find a title that says the most about your business in the fewest words possible. Select a name that symbolizes the identity of your company, is meaningful to you, and is memorable for everyone. Also, ensure that the name you choose has not already been taken, and then apply for a trademark.

Draft a business plan

You will have to plan thoroughly as a solid business plan is crucial to a financially stable and well-operating production company. Start small and use a business model that enables you to build gradually from a small business to a bigger one.

Specifically, plan for your startup expenditures, from federal taxes and state to office space and labor. Create a mission statement that tells the goals of your film production company and how you intend to profit from your film production business.

Moreover, the plan must also concentrate on insurance, marketing strategies, and licensing to provide you will a complete picture. You will not be able to progress without a good plan.

Hire a lawyer or legal advisor

It can be complex to legally create a production company. You may want to hire a lawyer or consult a legal advisor. It will ensure that you are fulfilling each required step in starting your production company. Moreover, your attorney can advise you on trademark and copyright issues. You also may choose to do these online.

Incorporate your business

If you are willing to launch your production company in the right way, you will have to formally categorize it as a limited liability company, a C-Corp, an S-Corp, or a sole proprietorship. The simplest legal body to create is a sole proprietorship.

Business insurance and secure funding

Reliable funding is important to make your production company grow. Money is required to begin your project(s). You can either pitch your plan to an investor or apply for a secure business loan to ensure that your company has constant monetary flow when it starts to grow.

Moreover, like permits and licenses, your company may require insurance. It will enable your company to run lawfully and safely. Business insurance can be important for the economic well-being of your production company.

Open a business bank account

Next, you will have to open your business bank account. It is important to have a business account as it distinguishes your personal finance from your company’s finance. Moreover, it also helps make tax filing and accounting much easier to do.

Assembling the right team

You will need a team of dedicated workers who can visualize your idea and work hard to accomplish it. You will need four executive heads as your executive team to work on your projects.

It includes a production head who will deal with production and budgeting processes, a development head who will guide the creative team and deal with scripts, a distribution head who will deal with marketing, and a post-production head who will look after the editing process.

Create your online presence

To market your production company, you will have to create your own website. For a video production company, a website is a kind of online portfolio as you will have to showcase your work to grab new clients. A website will also serve as a way of communication between you can your clients which is very important.

Moreover, an online presence on different social media sites will help more people identify and follow you. Social media can be the best marketing tool for your films and projects to grab the attention of more audiences.

Concentrate on the future and beyond

Now you are ready to launch your film production company, keep in mind that the industry is shifting in bold new ways. Just a few decades ago, film production companies were filming analog tape and working heavily on video-post. Today, the film industry is shifting toward mobile innovations, social media content, and smaller digital productions.

Keep your eyes on industry trends and evolving technology. When you stay responsive and quick, you can increase the chances that your newly launched production company will flourish well in the future.

Ignore what I told you

Shake things up. You may want to take these steps out of order; for example, start with a social media account to research your niche and find your team. Be creative.

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About Ben Cable

Actor Ben Cable was featured in over three dozen award-winning movies, music videos, and shorts. Ben is known for his portrayals of socially relevant film topics.
Ben enjoys the artistic integrity of short films. Ben is known for his portrayal of Father in the music video by artist Stitches, I CRY. Ben Cable on IMDb