ELI5: Explain Like I'm 5

Film finance

Film finance is how movies get made. Making a movie is like putting a puzzle together. There are a lot of pieces and they all cost money. Film finance is the way that people find and put together all those pieces so that a movie can be made.

When someone wants to make a movie, they need money to pay for things like the script, the actors, the special effects, the sets, the costumes, and much more. This money comes from different sources, such as investors, movie studios, or even crowdfunding.

Investors are people who give money to the movie producers hoping that the movie will make a profit and return the money plus more. Investors can be individuals, companies, or even governments.

Movie studios are companies that produce movies. They have a lot of money and resources, but they only invest in movies they believe will make a profit. Studios look at the script, the actors, the director, and other factors to decide if a movie is worth investing in.

Crowdfunding is when people donate small amounts of money to a movie in exchange for perks like merchandise or being listed in the credits. This is becoming more popular as social media has made it easier to reach a large audience.

Once the money is secured, the producers use it to gather all the puzzle pieces needed to make the movie. They hire actors, writers, directors, and technicians to create a story that will be filmed. This is called pre-production.

During production, the story is filmed, and the puzzle pieces are put together. The film crew sets up the camera, the actors perform their scenes, and the special effects are added to create the final product.

After a movie is produced, it needs to be distributed to theaters, streamed on online platforms, or sold on DVD or Blu-ray. This is where the movie studio comes in again. They use their resources to get the movie in front of as many people as possible.

In summary, film finance is how movies get made by finding and securing the money needed to put together all the puzzle pieces that go into making a movie. Investors, movie studios, and crowdfunding are all sources of film finance.