First, let’s set up the situation. If you’re the person who is running a film, it’s likely that you’re going to pay some sort of salary or some sort of fee to the editor and a producer. Maybe you’re paying for the film itself, or maybe you’re paying for production-related activities (e.g. sound, lighting, distribution), or maybe you’re paying for post-production related activities (e.g. DVD remastering, etc). As we know, a lot of movies are made by a single team, so the fee paid by an editor for a particular project has typically increased over time, so the total amount paid to the editor has increased with the amount of work that was being done. Let’s start with an example. There’s a story that needs to be told, and the writer and director would like to get the film done as quickly as possible. They want to write a script in a day and they would like to cut it into two or three days. Here is what their options are.
Option 1 – The Writer
This is the person who’s written the script. That way they can cut the script without worrying about production costs. In case the writer hasn’t completed his or her script, the writer is given a fixed fee (usually $150/day), and the rest goes to a producer or a distribution company. The producer or distributors takes a cut and the rights for the film are sold to a distributor.
The producer would do the following:
Sell the rights to a distributor for a fixed amount (currently $5,000 to $10,000), and make some additional profit on them by selling them to the distributor again. The rights could be sold as part of a theatrical release to a theater for a fraction of the fixed amount.
If the rights were sold outright, the producer would make more profit; it was always a better deal. But the studio would take more from both parties. The writer would split their fees evenly with the distributor, and the director would also take an equal share.
The producer may want to get a cut from the actor, if they were being paid very well by the studio, to make the film even more profitable. Alternatively, the producer could split his share of the movie with the distributor, but only after he had already invested a huge amount of money and time in the project.
Option 2 – The Writer
The script writer (or someone like that
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