Friday, April 25, 2008

Points vs. The Mighty Dollar

So your joyful day arrives - you have signed a deal that will finance a film you are working on. You now have the power of the mighty dollar behind your creativity.



But! There may be one small problem that could bring all your dreams crashing down around you. If you did not pay careful attention to how the funds will be allocated after the project ends you may end up getting screwed.
You see, profit can be distributed by a set dollar amount or by a set percentage of the total. But, it can also be divied out by points. Points are different in that they are a percentage of a dollar. For example, 1point could = 25% of a dollar, 0.25$. But it 1point could also be worth .o1% of a dollar, 0.01$.
So, remember, a point is NOT a set amount. It holds whatever amount they assign to it.




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