Film-Tech Forum ARCHIVE: Cinema Funding?

This is topic Cinema Funding? in forum Film-Yak at Film-Tech Forum ARCHIVE.

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Posted by Jamie Glossop (Member # 2180) on 09-07-2006, 06:35 AM:

Hi,

I dont know where to post this, But i whould like your advise,

I want to be able to open a cinema, well buy an exisiting one and i whould like some info on how i get funding to startup a cinema, Are there any places that provide funding to help open up or any webpages?

Thanks for the help!

Posted by Dominic Espinosa (Member # 2122) on 09-07-2006, 05:21 PM:

Well, if you don't have the money yourself your only course of action is to raise it via investors or a bank loan.
Trouble is most people don't get the business you'll have to spell out every little thing for them to get approved.
Cinemas are expensive and they have a very small profit margin so it's hard to convince somebody to sink that kind of money into it. Especially if you yourself have no money tied up in the deal.

Good luck.

Posted by Jamie Glossop (Member # 2180) on 09-07-2006, 06:21 PM:

Thanks,

Ive been working in cinemas most of my life and owning my own cinema has been an idea for a long time,

I have a fair bit to put towards he payment for the cinema, But hopefully i'll be able to get investors to help out, Do you know what kind of companys i should contact about getting investors maybe anything to do with movies?

I am aware that cinemas only have a thin margin on profits, But i will be looking into offering more services, I own and run my own online services, I will be soon be running a online dvd store so i am hoping that will help bring abit more income to help fund my project.

Anyways thanks for your info,

Best bet i can do is come up with a good business plan.

Posted by Mike Blakesley (Member # 26) on 09-07-2006, 06:55 PM:

Business plan = good. Most attendance estimates = bad. Providing there's no competition in your immediate area, take the population of your drawing area, multiply that by about 6, and you'll get an estimate of how many people you'll get in your door in a year. If you can figure out a way to make it pay off with about half that number of people, you've got a good plan.

Posted by Barry Floyd (Member # 385) on 09-08-2006, 10:47 AM:

When we built our theatre, we developed our business plan through the help of the local SCORE representatives. They did not write our plan, but gave me very valuable advise and critisism to make our plan work for us.

We took our business plan to several local banks, and thru the SBA 504 loan program (also suggested by the SCORE rep), we only had to come up with 15% cash equity from our own pocket. Granted - to get that 15% we (me and my wife) decided to sell our house, in the end we think it was worth it.

We just celebrated the 3 year anniversary of our theatre last weekend, and it looks like this year will be the first year we'll finish the season operating in the black.

Posted by Jamie Glossop (Member # 2180) on 09-08-2006, 06:10 PM:

Thanks guys for the info [Smile]

I have started my business plan and got in touch with a few banks,

Posted by Jamie Glossop (Member # 2180) on 09-17-2006, 02:17 PM:

What is the best way to find investors, What types of companys should i target?

Posted by Kara Tillotson (Member # 3899) on 09-17-2006, 06:13 PM:

have you perused cinemas in your area?
Interestingly there is a closed theatre in your town of nottingham
http://cinematreasures.org/theater/11113/

Posted by Jamie Glossop (Member # 2180) on 09-18-2006, 03:45 AM:

The odeon is still to let,

But by the sounds of it they knocked all the walls out and stuff.

The cinema is around the corner from the cineworld 14 screen cinema where i work.