movie house business plan

Film Production Company Business Plan: The Complete Guide

The process of film production is a long and arduous one. It starts with the writing stage, where screenplays are written by a writer or multiple writers.

The screenplay typically has at least three acts that have to be edited for pacing and story development purposes. Once the script is finished, it’s time for pre-production!

There’s a lot of misconception about what film production really entails. This article will clear up some of the misconceptions and give you an idea of what it is like on set, as well as how to break into the industry.

FILM PRODUCTION COMPANY BUSINESS PLAN

What is a film production company business plan.

A film production company business plan is a document that can help you to get investors and loans from banks, but it’s also useful for you to see if your idea is viable. It helps you determine if it’s worth investing money, time, and effort.

Film production company business plans are documents that should be created before starting the business.

They will help you gain investors so you can start your film production company and make money out of your films.

A business plan should have all the necessary information about your film company , including the mission statement, executive summary, market analysis, funding request, financial projections, and management team.

Starting a film production company is an exciting venture that blends creative storytelling with the thrill of entrepreneurship.

Crafting a solid business plan is our roadmap to success, ensuring we navigate the complex landscape of the film industry with confidence.

We’ll jump into the essentials of a film production company business plan, from financial projections to marketing strategies.

Stick with us to learn how to lay the groundwork for a thriving production company that’s ready to take on Hollywood.

Executive Summary

When embarking on the exhilarating journey of starting a film production company, the executive summary stands as a pivotal introduction to the business plan.

It provides a snapshot of the company’s vision and objectives, ensuring that potential investors or partners grasp the core of what we’re building.

In our executive summary, we’ll outline the major points that distinguish our company, such as our unique storytelling capabilities and innovative distribution strategies.

We hone in on our competitive advantage – a blend of seasoned industry professionals and fresh talent that pushes the envelope of what’s possible in film.

We’ll also touch upon our foundational goals:

• Captivate a diverse audience with groundbreaking narratives,
• Create a slate of projects that showcase profitability and creative ingenuity,
• Establish a brand synonymous with quality entertainment.

Financial plans are succinctly summarized to demonstrate the strategic allocation of resources and the anticipated financial trajectory.

Here, investors will find confidence in our capability to manage budgets effectively and produce high-return projects.

Marketing strategies are briefly yet powerfully presented, showcasing how we plan to penetrate the market and gain substantial traction.

We outline our approach to leveraging social media , partnerships, and film festivals to amplify our presence and stake our claim in a crowded industry.

Each element of our executive summary is designed to pique interest and invite deeper exploration into our full business plan.

Through it, we lay the foundation for a dialogue with stakeholders that could translate into lasting support for our creative endeavours.

Company Overview

In the heart of our business plan lies the comprehensive Company Overview section, a detailed portrait of who we are and what we stand for.

As seasoned filmmakers at Filmmaking Lifestyle, we take pride in our ability to tell gripping stories through the lens of our cameras.

We offer a range of filmmaking services, but here’s a snapshot of our core offerings:

• Narrative Film Production – Our signature offering includes developing and producing feature films that resonate with audiences globally.
• Commercial Video Production – We craft compelling marketing videos that help brands tell their stories and engage with their target demographic.
• Innovative Content Creation – With the digital space evolving rapidly, we stay ahead of trends producing content that stands out in crowded platforms.

Our mission goes beyond the visual aesthetics; it’s about weaving narratives that leave a lasting impact.

Each project is an opportunity for us to push the envelope in creative storytelling.

At the core of our operation, we strive to achieve a convergence of artistic vision and commercial viability.

Anchored by a team of dedicated professionals, we bring diverse perspectives and skills to every production.

This synergy creates a fertile ground for innovative filmmaking.

Our work ethic revolves around a relentless pursuit of excellence and a commitment to staying on top of the latest industry advancements.

Focused on scaling our film production capabilities, we’re actively exploring emerging technologies and distribution channels to enhance our impact in the industry.

We’re all about staying ahead of the curve, making sure our films are not just seen, but remembered and revered.

With a portfolio that spans various genres and styles, our flexibility allows us to tailor our approach to each unique project.

Collaboration is key – by joining forces with talented writers, directors, and producers, we amplify our ability to craft unforgettable cinematic experiences.

Investing in our growth, we’ve equipped ourselves with state-of-the-art equipment and editing suites, ensuring professionalism and efficiency in our production workflow.

Convergence of art and technology is critical in our approach and is reflected in every piece of content we produce.

eventually, our Company Overview is not just an introduction to who we are; it’s an open invitation to jump deeper into the possibilities and potent potential of partnering with Filmmaking Lifestyle.

We’re here to bring visions to life and curate a portfolio of work that speaks volumes of our passion for filmmaking.

Vision And Mission

Partnering with these key figures elevates our visibility and strengthens our network within the film industry.

Attendance and participation at industry events ensure we stay current and visible.

Film festivals , screenings, and conferences act as platforms for networking and showcasing our latest productions.

Our sales approach hinges on:

• Fostering strong relationships with distributors and streaming services,
• Offering competitive pricing while ensuring high production value,
• Developing a feedback loop with our audience to refine our portfolio according to their preferences.

As the film industry evolves, so must our approach to marketing and sales.

Employing dynamic strategies that align with the latest trends will ensure that Filmmaking Lifestyle continues to thrive in a competitive marketplace.

Production And Post-production Plan

Developing a thorough production and post-production plan is crucial for us at Filmmaking Lifestyle.

This ensures streamlined operations from the initial storyboard to the final edit.

In the planning phase, we focus on script finalization, casting, location scouting , and securing permits.

Each of these elements is critical, as they set the stage for successful filming.

During production, our attention shifts to the practical application of our strategies.

This includes advising on shooting schedule s, budget adherence, and logistics management.

We’re dedicated to fostering a cooperative environment where cast and crew can work efficiently towards a common artistic goal.

Our team ensures that every day on set counts towards creating a compelling final product.

Entering post-production, our plan transitions into editing, sound design , and visual effects.

We have a robust workflow that includes:

• Dialogue editing and ADR,
• Soundtrack composition and sound effects,
• Color correction and grading,
• Special and visual effects integration.

Each of these post-production processes is handled with precision.

Our skilled editors and technicians bring the director’s vision to life, polishing the film to meet both artistic and market standards.

We maintain meticulous records and backups to safeguard against data loss ensuring our projects are delivered without hiccups.

also, we constantly adapt our production and post-production tactics to suit the evolving landscape of film and video.

By staying ahead with the latest software and editing techniques, we guarantee top-notch quality that resonates with our target audience.

Engaging with industry advancements allows us to uphold our reputation for innovation and excellence.

Financial Projections

Financial projections serve as the fiscal compass for our business, providing a snapshot of the anticipated revenue and expenses.

We carefully calculate these projections to forecast the financial health of our film projects and overall operations.

When crafting our financial outlook, we factor in all potential sources of income – ranging from theatrical releases to streaming platform deals.

Our expense list is comprehensive, with line items for production costs, marketing campaigns, and distribution fees.

Revenue streams typically include:

• box office sales,
• Licensing agreements,
• Merchandise sales,
• Syndication rights.

Meanwhile, expenses often encompass:

• Actor and crew wages,
• Equipment rental,
• Post-production services,
• Marketing and advertising costs.

We maintain a cautious approach with our projections, especially considering the volatile nature of the film industry.

For each project, we provide conservative estimates that take into account various market conditions and audience trends.

Navigating the financial aspects of film production doesn’t have to be overwhelming.

By regularly revisiting and refining our financial projections, we stay prepared for unforeseen expenses or shifts in revenue.

Never resting on our laurels, we Use cutting-edge analytical tools and industry benchmarks.

This enables a level of precision that helps safeguard our investments and optimize profitability.

We prioritize transparency in our financial dealings, ensuring that stakeholders and investors have a clear understanding of where their money is going.

Our detailed projections form the basis for robust investment strategies, securing the bedrock of our financial planning.

With each new project, we build upon our knowledge base.

Our financial foresights become increasingly accurate, guaranteeing that Filmmaking Lifestyle not only survives but flourishes in the competitive film production landscape.

Funding And Investment

Securing the financial backbone for film projects is a critical step in the execution of our business plan.

Harnessing a mix of funding sources allows us to diversify risk and tap into various pockets of opportunity.

Crowdfunding has become a significant source of investment, enabling us to engage our audience from the outset.

Platforms like Kickstarter and Indiegogo offer a ground for community support and validation of our creative endeavors.

Equity financing is a traditional route where investors receive a stake in the production’s potential returns.

This method aligns investor and producer interests, creating a mutually beneficial relationship.

Here are some of the key components of our funding model –

• Pre-sales of distribution rights,
• Tax incentives and rebates,
• Grants and subsidies specific to the film industry,
• Partnerships with production companies and studios.

We also look toward film financing companies that specialize in entertainment.

Their knowledge of market trends and distribution strategies makes them a powerful ally in our financial planning.

Engaging with angel investors and venture capitalists who have a vested interest in creative projects provides us another avenue.

These individuals or groups often bring more than just funds – they carry expertise and networking opportunities to the table.

With meticulous fiscal management, we ensure that each investment is allocated effectively.

Diligent tracking of expenditures and returns keeps us ahead in our financial undertakings, and prepares us for sustainable growth and development.

By staying flexible and open to emerging investment opportunities, we sustain our production capabilities.

Our approach is continually refined, allowing us to capture new investment while fostering ongoing partnerships.

Risk Assessment

When crafting a business plan for a film production company, it’s pivotal to conduct an exhaustive risk assessment.

In our experience, this analysis isn’t just a formal requirement – it’s a precautionary step to safeguard our investments and efforts.

Understanding the potential risks allows us to develop strategies proactively.

We account for everything from casting issues to weather disruptions, ensuring that our backup plans are as robust as the primary ones.

Market volatility must not be underestimated.

The film industry is susceptible to trends and consumer preferences that can shift overnight.

Our vigilant eye on market trends helps us adapt quickly and effectively.

The risks of technological advancements cannot be ignored.

They might render our current methods obsolete, demanding constant innovation and flexibility in our approach to filmmaking.

A substantial risk in film production stems from financing and budget constraints .

Here are factors we consistently monitor and mitigate:

• Sudden increases in production costs,
• Delays in funding release – Unanticipated post-production expenses.

Legal challenges also pose a significant threat.

Maintaining meticulous records and obtaining all necessary rights and permits is standard practice for us to prevent costly disputes.

To stay ahead, we evaluate risks associated with distribution and audience reception .

Strategies include:

• Targeted marketing campaigns – Building strong relationships with distributors – Diversifying our portfolio to appeal to a broader audience.

Finally, we face the universal risks of unexpected events like natural disasters or global crises.

We establish insurance and emergency response plans to manage such unpredictable scenarios.

Film Production Company Business Plan – Wrap Up

Crafting a solid business plan for our film production company, Filmmaking Lifestyle, is crucial for our success.

We’ve laid out the groundwork to understand our market position, devised strategies for marketing and sales, and outlined our production processes.

Our approach to securing diverse funding sources ensures we’re financially prepared to bring our cinematic visions to life.

We’re also proactive in assessing and mitigating risks, ready to adapt to the ever-changing film industry landscape.

With these strategies in place, we’re not just making films—we’re building a resilient, forward-thinking business ready to captivate audiences and withstand the tests of time.

Frequently Asked Questions

What is competitive analysis and why is it important in the film industry.

Competitive analysis in the film industry involves researching and understanding competitors to identify both the strengths and weaknesses within the market.

This helps Filmmaking Lifestyle to determine their own position and create strategies for success.

How Does Filmmaking Lifestyle Approach Marketing And Sales?

Filmmaking Lifestyle develops a robust marketing and sales strategy that encompasses identifying their target audience, creating compelling promotional materials, and implementing innovative sales techniques to reach viewers and generate revenue.

What Are Some Sources Of Funding For Filmmaking Lifestyle?

Filmmaking Lifestyle’s sources of funding include crowdfunding, equity financing, pre-sales of distribution rights, tax incentives, grants, subsidies, and partnerships with production companies and studios.

They also work with film financing companies, angel investors, and venture capitalists.

How Is Fiscal Management Handled In Filmmaking Lifestyle?

Fiscal management at Filmmaking Lifestyle involves careful allocation of investments, ensuring that funds are spent efficiently and preparing for sustained growth and development within the company’s financial capabilities.

Why Is Conducting A Risk Assessment Vital For Film Production Businesses?

Conducting a risk assessment is vital as it helps in identifying potential issues like market volatility, budget constraints, legal challenges, and distribution risks.

It allows for the creation of strategies to mitigate these risks, ensuring the stability and adaptability of the film production business.

What Strategies Does Filmmaking Lifestyle Use To Mitigate Production Risks?

Strategies include adapting to market trends, staying flexible with technology, monitoring costs, securing rights and permits, targeted marketing, working closely with distributors, diversifying their content, and having insurance and emergency plans in place.

Matt Crawford

Related posts, how to use the lean startup framework to start your video business, 24 best collaboration tools for teams in 2024 [compared & ranked], business mindset: 11 tips to get everything you can out of all you’ve got, buying electronics online – how to not get scammed, 8 steps to find prospects by buying lead lists for your video business, what is wide release in film: strategies for maximum audience reach.

Iam having a movie by the name from the streets to the world

Best of luck, Kelvin!

Matt .. would you have template of the Biz Plan .. and are you Fine with sharing the same? – AMAAN

Here’s an idea for a template: https://toskaproductions.com/wp-content/uploads/2013/06/TEA-Business-Plan.pdf

Leave a Reply Cancel reply

This site uses Akismet to reduce spam. Learn how your comment data is processed .

Username or Email Address

Remember Me

Registration is closed.

Pin It on Pinterest

WANT GET MORE CLIENTS & GROW YOUR VIDEO COMPANY TO 7-FIGURES PER YEAR?

Enter Your Details Below!

Movie Theater Business Plan Template

Written by Dave Lavinsky

Movie Theater Business Plan

You’ve come to the right place to create your Movie Theater business plan.

We have helped over 1,000 entrepreneurs and business owners create business plans and many have used them to start or grow their Movie Theater businesses.

Below is a template to help you create each section of your Movie Theater business plan.

Executive Summary

Business overview.

Cinema Escape offers the residents of Wichita, Kansas a temporary escape from their daily grind with the magic of cinema. Our new movie theater has five enormous screens that will showcase a wide range of movies, including blockbusters and indie films. We will offer a diverse list of film options to cater to the diverse interests of the community of Wichita. Our goal is to ensure that every customer who walks through our doors has the best cinema experience possible.

Cinema Escape is run by Christine Ismay, a former movie theater manager and MBA graduate from the University of Kansas. She has loved cinema her whole life but always hated the corporate feel of most national chain movie theaters. She has been committed to starting her own movie theater for several years and finally has the plans and support to make her dream a reality. Her combination of experience and education will ensure that our movie theater succeeds in the local market.

Product Offering

Cinema Escape offers five screens that will show several movies throughout each day. We will offer a diverse mix of movies, from major blockbusters to local indie films. Cinema Escape will also offer several snacks and refreshments for customers to enjoy while they watch these films.

Customer Focus

Cinema Escape will target movie lovers of all ages and genders. We aim to offer a wide selection of movies so that everyone will be enticed to visit our establishment. Though our customer base will be determined by which movies are available each week, we expect most of our customers will include families and young adults.

Management Team

Cinema Escape is founded and run by Christine Ismay. Christine Ismay is a graduate of the University of Kansas with a Master’s in Business Administration. In addition to her education, Christine worked for several years as a movie theater manager at a local competitor. Christine has garnered a reputation for being a positive role model for her employees and a dedicated leader. She is confident that her ability to effectively manage a team of employees, build rapport with customers, and maintain a fun and profitable operation will help her quickly attract customers and employees to Cinema Escape.

Success Factors

Cinema Escape will be able to achieve success by offering the following competitive advantages:

• Friendly and highly qualified staff of professionals.
• Wide range of movie options that include blockbusters and indie films.
• Unbeatable pricing. A movie night with the family will be far more affordable with Cinema Escape than any other theater in the area.

Financial Highlights

Cinema Escape is seeking $450,000 in debt financing to launch its movie theater. The funding will be dedicated to leasing and building out the space, purchasing equipment and supplies, marketing expenses, working capital, and three months of overhead costs. The breakout of the funding is below:

• Theater build-out: $200,000
• Equipment, supplies, and materials: $50,000
• Three months of overhead expenses (payroll, rent, utilities): $150,000
• Marketing costs: $25,000
• Working capital: $25,000

The following graph below outlines the pro forma financial projections for Cinema Escape.

Company Overview

Who is cinema escape.

Cinema Escape offers its customers a chance to escape from the daily grind of modern life by providing them with the ultimate cinema experience. Our cinema has five large screens that show a diverse selection of movies seven days a week. Our movie selection will include the biggest blockbusters as well as lesser-known indie films. We will show a wide variety of genres, including children’s films, romances, dramas, and sci-fi.

  Customers can purchase a variety of snacks to consume while they watch a movie on one of our screens. These refreshments include typical movie theater fare such as popcorn, nachos, sodas, and water. Our customers will also enjoy comfortable seating, interacting with friendly and professional staff, and a family-friendly atmosphere.

Cinema Escape’s History

Cinema Escape is owned and operated by Christine Ismay, a former movie theater manager and MBA graduate from the University of Kansas. Christine is a dedicated leader with the ability to effectively manage a team of employees, build rapport with customers, and maintain a fun, safe, and profitable operation. These skills will help her quickly attract customers and employees to her new movie theater.

Since its incorporation, Cinema Escape has achieved the following milestones:

• Registered Cinema Escape, LLC to transact business in the state of Kansas.
• Has been approved for all required licenses and permits to run a movie theater.
• Has a contract in place to lease the theater.
• Determine required equipment and supplies.
• Began recruiting key staff.

Cinema Escape’s Services

Cinema Escape will showcase a wide selection of movies across its five screens. These will include major blockbusters as well as lesser-known indie films. Nearly every genre is welcome at Cinema Escape, including children’s films, dramas, romances, action movies, and sci-fi films.

We will also have a wide selection of refreshments for our customers. This will include popcorn, nachos, hot dogs, sodas, water, and other non-alcoholic drinks. We will also sell merchandise that will display our company logo and artwork pertaining to popular films.

Industry Analysis

According to Global Market Insights, the movie theater industry in the United States was valued at $63 billion in 2022. The industry is bouncing back from the pandemic years and is expected to grow at a CAGR of 4.9% from now until 2032. Despite the negative outlook that the industry had just a few years ago, the movie theater industry is doing well, with strong growth and enormous profits expected over the next decade.

The main sources of revenue for industry operators are ticket sales, followed by food and beverage sales, as well as merchandise sales. Market drivers include an increase in disposable income as well as increased marketing efforts by the movie industry at large. Movie theater industry operators can maintain a competitive advantage by providing competitive pricing, extended hours, or unique refreshment and merchandise options the competition does not offer.

Customer Analysis

Demographic profile of target market, customer segmentation.

Cinema Escape will primarily target the following customer profiles:

• Children and adolescents
• Young adults

Competitive Analysis

Direct and indirect competitors.

Cinema Escape will compete with other companies with similar business profiles. A description of each competitor is below.

Regal Cinemas

Regal Cinemas is one the largest and most diverse movie theaters in the country, boasting over 6,000 screens across 500 theaters. Customers nationwide can always count on Regal to show the best and most popular modern films in cinema as well as unique and lesser-known films and special events. Regal also has a great selection of refreshments and offers an appealing membership program that helps customers snag deals and save money. Regal’s best offer is its unlimited pass, which allows customers to see as many movies as they want in a given year.

Established in 1984, Cinemark is another major competitor in the movie theater market, operating nearly 6,000 screens across over 500 theaters. It is one of the top three largest movie theaters in the United States and is the largest theater chain in Brazil. Cinemark offers a great selection of movies at all of its theaters as well as rewarding and affordable membership plans. Customers particularly enjoy their movie club, which offers discounts on movie tickets, refreshments, and merchandise.

AMC Theaters

AMC Theaters has the largest share of theaters across the U.S. Headquartered in our home state of Kansas, AMC has a major presence and is consistently some of the most visited theaters in the area. AMC offers incredible refreshments, premium movies, great membership programs, and tons of great merchandise to keep customers coming back. As such, we expect that AMC will be our toughest competition to beat.

Competitive Advantage

Cinema Escape will be able to offer the following advantages over the competition:

• Staff : Cinema Escape will hire friendly, knowledgeable, and highly qualified staff who will provide excellent customer service and keep the theater in perfect condition.
• Variety : Cinema Escape will offer a wide variety of films, refreshments, and merchandise to keep customers coming back.
• Affordable pricing : Cinema Escape offers the best pricing in town to ensure that everyone can enjoy a fun outing at the movies.

Marketing Plan

Brand & value proposition.

Cinema Escape will offer a unique value proposition to its customers:

• Qualified and friendly staff
• Unbeatable pricing
• A mix of blockbusters and local films
• Fun, family-friendly atmosphere

Promotions Strategy

The promotions strategy for Cinema Escape is as follows:

Word of Mouth/Referrals

Christine Ismay has built up an extensive list of contacts over the years by providing exceptional service to her customers. Once Christine advised them she was leaving her employer to open her own movie theater, many customers expressed interest in coming to Cinema Escape and spreading the word about the new location to their friends and families.

Print Advertising

Cinema Escape will invest in professionally designed print ads to display in programs or flyers and to put in magazines, newspapers, and direct mailers.

Website/SEO Marketing

Cinema Escape will employ an in-house marketing manager to design and maintain the company website. The website will be well organized, informative, and list all the services the movie theater will offer. The marketing manager will also manage Cinema Escape’s website presence with SEO marketing tactics so that when someone types in the Google or Bing search engine “Wichita movie theater” or “movie theater near me,” Cinema Escape will be listed at the top of the search results.

Social Media Marketing

The company will create social media accounts on multiple platforms, including Facebook, Instagram, TikTok, and YouTube. The marketing manager will manage the accounts and maintain an active presence to promote the theater.

The pricing of Cinema Escape will be moderate so that our customers can afford to have a fun outing at the movie theater. This pricing model will apply to our tickets as well as our refreshments and merchandise.

Operations Plan

The following will be the operations plan for Cinema Escape. Operation Functions:

• Christine Ismay will be the Owner and Manager of the Cinema Escape. She will oversee all staff and the general operations of the theater. Christine will spend the next several months recruiting the following:
• An Assistant Manager who will co-manage the staff and oversee the day-to-day operations of the theater.
• An Accountant who will provide all budgeting, accounting, tax payments, and financial reporting.
• A Marketing Manager who will provide all sales, marketing, and PR campaigns.
• Several hourly staff who will sell tickets, refreshments, and merchandise. They will also provide excellent customer service and keep the theater in clean and perfect condition.

Milestones:

Cinema Escape will have the following milestones completed in the next six months.

• 8/1/2023 – Finalize contract to lease the movie theater space.
• 9/1/2023 – Begin build-out of the movie theater.
• 10/1/2023 – Begin recruiting key employees.
• 11/1/2023 – Begin marketing campaigns.
• 12/1/2023 – Cinema Escape opens for business.

Cinema Escape is founded and run by Christine Ismay. Christine Ismay is a graduate of the University of Kansas with a Master’s in Business Administration. In addition to her education, Christine also worked for several years as a movie theater manager at a local competitor. Christine has garnered a reputation for being a positive role model for her employees and a dedicated leader. She is confident that her ability to effectively manage a team of employees, build rapport with customers, and maintain a fun and profitable operation will help her quickly attract customers and employees to Cinema Escape.

Though Christine has never run a company of her own, she has considerable experience in the industry and knows how to run the general operations of a local movie theater. She is in the process of hiring staff who will help her manage the marketing, accounting, and administrative aspects of the business.

Financial Plan

Key revenue & costs.

The revenue drivers for Cinema Escape include movie ticket sales as well as the sales of our refreshments and merchandise.

The cost drivers will include the overhead costs, the cost of the equipment and supplies, marketing expenses, and labor expenses.

Funding Requirements and Use of Funds

Key assumptions.

The following outlines the key assumptions required to achieve the revenue and cost numbers in the financials and pay off the startup business loan.

• Number of monthly customers: 3,000
• Average ticket price: $12
• Average fees per month: $50,000
• Office lease per year: $50,000

Financial Projections

Income statement.

Balance Sheet

Cash Flow Statement

Movie Theater Business Plan FAQs

What is a movie theater business plan.

A movie theater business plan is a plan to start and/or grow your movie theater business. Among other things, it outlines your business concept, identifies your target customers, presents your marketing plan and details your financial projections.

You can easily complete your Movie Theater business plan using our Movie Theater Business Plan Template here .

What are the Main Types of Movie Theater Businesses? 

There are a number of different kinds of movie theater businesses , some examples include: First-Run Movie Theater, Discount Movie Theater, and Art House Theater.

How Do You Get Funding for Your Movie Theater Business Plan?

Movie Theater businesses are often funded through small business loans. Personal savings, credit card financing and angel investors are also popular forms of funding.

What are the Steps To Start a Movie Theater Business?

Starting a movie theater business can be an exciting endeavor. Having a clear roadmap of the steps to start a business will help you stay focused on your goals and get started faster.

1. Develop A Movie Theater Business Plan - The first step in starting a business is to create a detailed movie theater business plan that outlines all aspects of the venture. This should include potential market size and target customers, the services or products you will offer, pricing strategies and a detailed financial forecast.

2. Choose Your Legal Structure - It's important to select an appropriate legal entity for your movie theater business. This could be a limited liability company (LLC), corporation, partnership, or sole proprietorship. Each type has its own benefits and drawbacks so it’s important to do research and choose wisely so that your movie theater business is in compliance with local laws.

3. Register Your Movie Theater Business - Once you have chosen a legal structure, the next step is to register your movie theater business with the government or state where you’re operating from. This includes obtaining licenses and permits as required by federal, state, and local laws.

4. Identify Financing Options - It’s likely that you’ll need some capital to start your movie theater business, so take some time to identify what financing options are available such as bank loans, investor funding, grants, or crowdfunding platforms.

5. Choose a Location - Whether you plan on operating out of a physical location or not, you should always have an idea of where you’ll be based should it become necessary in the future as well as what kind of space would be suitable for your operations.

6. Hire Employees - There are several ways to find qualified employees including job boards like LinkedIn or Indeed as well as hiring agencies if needed – depending on what type of employees you need it might also be more effective to reach out directly through networking events.

7. Acquire Necessary Movie Theater Equipment & Supplies - In order to start your movie theater business, you'll need to purchase all of the necessary equipment and supplies to run a successful operation.

8. Market & Promote Your Business - Once you have all the necessary pieces in place, it’s time to start promoting and marketing your movie theater business. This includes creating a website, utilizing social media platforms like Facebook or Twitter, and having an effective Search Engine Optimization (SEO) strategy. You should also consider traditional marketing techniques such as radio or print advertising. 

Learn more about how to start a successful movie theater business:

• How to Start a Movie Theater

We earn commissions if you shop through the links below.  Read more

Movie Theater

Back to All Business Ideas

Lights, Camera, Action: How to Open a Movie Theater

Written by: Natalie Fell

Natalie is a business writer with experience in operations, HR, and training & development within the software, healthcare, and financial services sectors.

Edited by: David Lepeska

David has been writing and learning about business, finance and globalization for a quarter-century, starting with a small New York consulting firm in the 1990s.

Published on May 28, 2022

Investment range

$135,500-$324,600

Revenue potential

$195,000 - $520,000 p.a.

Time to build

0 - 3 months

Profit potential

$59,000 - $156,000 p.a.

Industry trend

Here is what you should focus on when starting your movie theater:

• Location — Choose a convenient and accessible location with high foot traffic and ample parking. Consider proximity to restaurants, shopping centers, and public transportation.
• Facilities — Design a comfortable and welcoming facility with high-quality seating, sound, and projection systems. Ensure your theater has a spacious lobby, concession stands, restrooms, and accessible entrances and exits.
• Franchise — Choose one of the following franchises: Alamo Drafthouse Cinema , Cinépolis , or Movie Tavern . 
• Licensing — Establish relationships with film distributors to obtain the necessary licenses to screen films . Understand the terms and costs associated with film licensing agreements.
• Equipment — Invest in high-quality digital projection and sound systems to provide an excellent viewing experience. Consider 3D or IMAX capabilities for added appeal.
• Register your business — A limited liability company (LLC) is the best legal structure for new businesses because it is fast and simple. Form your business immediately using ZenBusiness LLC formation service or hire one of the best LLC services on the market.
• Legal business aspects — Register for taxes, open a business bank account, and get an EIN .
• Ticketing — Implement a reliable ticketing system that allows for online, mobile, and in-person ticket sales. Offer reserved seating options to enhance customer convenience.
• Concession stands — Equip concession stands with efficient food preparation and storage equipment. Offer a variety of snacks and beverages, including traditional items like popcorn and soda, as well as healthier and gourmet options.

Interactive Checklist at your fingertips—begin your movie theater today!

You May Also Wonder:

Is a movie theater business profitable?

Yes, movie theaters can be profitable. The key to increasing revenue is to offer and upsell concessions to your customers. You might also consider renting out your theater space for private events.

How can I differentiate my movie theater from competitors in the market?

To differentiate your movie theater, focus on providing a unique and immersive movie-watching experience through features like state-of-the-art technology, comfortable seating, enhanced sound systems, specialized screenings (e.g., 3D, IMAX), curated film selections, and offering a variety of alternative content such as film festivals or special events.

How can I identify and secure movie distribution deals for my theater?

Identify and secure movie distribution deals for your theater by networking with film distributors, attending industry events and film markets, utilizing online platforms for industry connections, showcasing your theater’s capabilities and audience reach, and negotiating licensing agreements directly with movie studios or independent filmmakers.

What types of discounts or loyalty programs can I offer to encourage repeat business?

Offer discounts or loyalty programs such as discounted ticket prices for matinee screenings, special pricing for student or senior citizens, bulk ticket purchases for groups, loyalty cards with rewards or points-based systems that can be redeemed for future movie tickets or concessions, and exclusive access to advanced screenings or special events.

What types of food and drink offerings can I provide in my movie theater?

Provide a range of food and drink offerings in your movie theater, including traditional concessions like popcorn, candy, and soda, as well as expanded options like gourmet snacks, specialty coffees, artisanal ice cream, healthy snack choices, and even a full-service dining experience with a menu tailored to the movie theme or audience preferences.

Step 1: Decide if the Business Is Right for You

Pros and cons.

Before you decide to start your own movie theater, it’s important to consider the pros and cons.

• Fun Work Environment – Show films and delight your customers!
• Post-pandemic Boom – Movie-goers are heading back to the theater
• Make Connections – Build lasting community relationships
• High Startup Costs – Equipment and film licensing fees are pricey
• Compete with Streaming Services – Many are choosing to watch movies at home

Movie Theater industry trends

Industry size and growth.

• Industry size and past growth – In 2022, the US movie theater industry is worth $12.1 billion. The industry dipped during the pandemic, but it’s now making a full recovery . (( https://www.ibisworld.com/industry-statistics/market-size/movie-theaters-united-states/ ))
• Growth forecast – Globally, the movie theater market is expected to grow at an annual rate of 4.7% through 2028.(( https://www.verifiedmarketresearch.com/product/movie-theaters-market/ ))
• Number of businesses – There are 2,525 movie theater businesses in the US in 2022.(( https://www.ibisworld.com/industry-statistics/number-of-businesses/movie-theaters-united-states/ ))

Trends and challenges

Trends within the movie theater industry include:

• Some theaters have pivoted to offering private events where families, friends, or organizations can reserve their own screenings. They’re also thinking outside the box and renting out their space for fantasy football draft parties, pay-per-view sporting events, and more. 
• Tech innovations like Magic Screen enable audiences to interact live with movie characters. It’s still in development, but pilot testing has shown promising results.

Challenges within the movie theater industry include:

• Before the pandemic, new releases typically stayed in theaters for around 90 days. Today, that time has been cut in half, which means fewer tickets are sold. There are also less movies being released. 
• With many new releases heading straight to streaming, people can now view these films right from their couches. More people are now choosing to stay home and save money instead of heading to the theater.

How much does it cost to start a movie theater?

Startup costs for a movie theater range from $135,000 to $325,000. Major costs include theater rental, equipment, labor, and the cost to license the films you feature. You may be able to keep costs low by renting equipment or purchasing used items and licensing older films instead of new releases. 

You’ll need a handful of items to successfully launch your movie theater, including: 

• Digital projector
• Projector screen
• Film licenses
• Concessions

How much can you earn from a movie theater?

The average cost of a movie ticket is $15. Movie-goers often purchase concessions when they’re available and spend an additional $10. After costs, your profit margin should be around 30%.

In your first year or two, assuming a two screen theater, you could show two screenings per week to 75 patrons each. You could charge $15 a ticket and sell $10 worth of concessions to each person, bringing in $195,000 in annual revenue. This would mean $59,000 in profit, assuming that 30% margin. As your movie theater becomes more popular, you could draw 200 people per screening, bring in $520,000 in annual revenue, and make an impressive profit of $156,000. 

What barriers to entry are there?

There are a few barriers to entry when starting a movie theater. Your biggest challenges will be:

• Securing a viable theater location
• High startup costs
• Drawing viewers away from established theaters

Related Business Ideas

Movies Under the Stars: Starting a Drive-In Theater

A Step-By-Step Guide to Setting up a Film Production Company 

A Guide to Starting a Video Production Company

Step 2: hone your idea.

Now that you know what’s involved in starting a movie theater, it’s a good idea to hone your concept in preparation to enter a competitive market. 

Market research will give you the upper hand, even if you’re already positive that you have a perfect product or service. Conducting market research is important, because it can help you understand your customers better, who your competitors are, and your business landscape.

Why? Identify an opportunity

Research movie theaters in your area and online to examine their services, price points, and customer reviews. You’re looking for a market gap to fill. For instance, maybe the local market is missing a theater with a full-service restaurant or arcade. 

You might consider targeting a niche market by specializing in a certain aspect of your industry, such as independent films or private events.

This could jumpstart your word-of-mouth marketing and attract clients right away. 

What? Determine your products or services

At your movie theater, you’ll be selling tickets to the films you decide to feature. Due to licensing fees, blockbuster new releases are more expensive to show than older films. Offering concessions or a full bar with alcoholic beverages would increase revenue. 

Some theaters also have arcade games onsite. You could also consider renting your theater out for corporate events or private screenings. 

How much should you charge for movie tickets and concessions?

Movie tickets typically cost between $12 and $20. You can charge a discount for a matinee show or a premium price for weekend showings. In terms of concessions, you could charge anywhere from $5 to $12 for candy, popcorn, and sodas. If you decide to offer alcoholic beverages, you can charge between $10 and $20 per drink. 

Once you know your costs, you can use this Step By Step profit margin calculator to determine your mark-up and final price points. Remember, the prices you use at launch should be subject to change if warranted by the market.

Who? Identify your target market

Your target market will be individuals and families who enjoy viewing films in a theater. Movie-goers come in all ages, shapes, and sizes, so spread your marketing efforts across social media platforms like TikTok, Facebook, and Instagram. 

Where? Choose your movie theater location

Ideally, you’ll want to lease an existing theater that’s already designed for showing films. Look for a theater in a desirable location that’s easily accessible with plenty of parking. Theaters attached to malls and shopping centers are convenient for patrons. 

As your business grows or if you acquire additional theaters, you’ll likely need to hire workers for various roles and may need to rent out a separate office. You can find commercial space to rent in your area on sites such as Craigslist , Crexi , and Instant Offices .

When choosing a commercial space, you may want to follow these rules of thumb:

• Central location accessible via public transport
• Ventilated and spacious, with good natural light
• Flexible lease that can be extended as your business grows
• Ready-to-use space with no major renovations or repairs needed

Step 3: Brainstorm a Movie Theater Name

Here are some ideas for brainstorming your business name:

• Short, unique, and catchy names tend to stand out
• Names that are easy to say and spell tend to do better 
• Name should be relevant to your product or service offerings
• Ask around — family, friends, colleagues, social media — for suggestions
• Including keywords, such as “cinema” or “theater”, boosts SEO
• Name should allow for expansion, for ex: “Screen Savvy” over “Horror House Cinema”
• A location-based name can help establish a strong connection with your local community and help with the SEO but might hinder future expansion

Once you’ve got a list of potential names, visit the website of the US Patent and Trademark Office to make sure they are available for registration and check the availability of related domain names using our Domain Name Search tool. Using “.com” or “.org” sharply increases credibility, so it’s best to focus on these. 

Find a Domain

Powered by GoDaddy.com

Finally, make your choice among the names that pass this screening and go ahead with domain registration and social media account creation. Your business name is one of the key differentiators that sets your business apart. Once you pick your company name, and start with the branding, it is hard to change the business name. Therefore, it’s important to carefully consider your choice before you start a business entity.

Step 4: Create a Movie Theater Business Plan

Here are the key components of a business plan:

• Executive Summary : A brief summary outlining the movie theater business’s main highlights and goals.
• Business Overview : A concise description of the movie theater, its location, and its mission.
• Product and Services : Explanation of the movies, concessions, and additional offerings provided by the theater.
• Market Analysis : An assessment of the local demand for movie entertainment and demographic trends.
• Competitive Analysis : Evaluation of other theaters and entertainment options in the area.
• Sales and Marketing : Strategies for promoting the theater and attracting customers.
• Management Team : Introduction to the key individuals responsible for running the movie theater.
• Operations Plan : Details on day-to-day theater operations, from screening schedules to staffing.
• Financial Plan : Financial projections, including revenue, expenses, and profit expectations.
• Appendix : Supplementary information, such as supporting documents or additional research.

If you’ve never created a business plan, it can be an intimidating task. You might consider hiring a business plan specialist to create a top-notch business plan for you.

Step 5: Register Your Business

Registering your business is an absolutely crucial step — it’s the prerequisite to paying taxes, raising capital, opening a bank account, and other guideposts on the road to getting a business up and running.

Plus, registration is exciting because it makes the entire process official. Once it’s complete, you’ll have your own business! 

Choose where to register your company

Your business location is important because it can affect taxes, legal requirements, and revenue. Most people will register their business in the state where they live, but if you are planning to expand, you might consider looking elsewhere, as some states could offer real advantages when it comes to movie theaters. 

If you’re willing to move, you could really maximize your business! Keep in mind, it’s relatively easy to transfer your business to another state. 

Choose your business structure

Business entities come in several varieties, each with its pros and cons. The legal structure you choose for your movie theater will shape your taxes, personal liability, and business registration requirements, so choose wisely. 

Here are the main options:

• Sole Proprietorship – The most common structure for small businesses makes no legal distinction between company and owner. All income goes to the owner, who’s also liable for any debts, losses, or liabilities incurred by the business. The owner pays taxes on business income on his or her personal tax return.
• General Partnership – Similar to a sole proprietorship, but for two or more people. Again, owners keep the profits and are liable for losses. The partners pay taxes on their share of business income on their personal tax returns.
• Limited Liability Company (LLC) – Combines the characteristics of corporations with those of sole proprietorships or partnerships. Again, the owners are not personally liable for debts.
• C Corp – Under this structure, the business is a distinct legal entity and the owner or owners are not personally liable for its debts. Owners take profits through shareholder dividends, rather than directly. The corporation pays taxes, and owners pay taxes on their dividends, which is sometimes referred to as double taxation.
• S Corp – An S-Corporation refers to the tax classification of the business but is not a business entity. An S-Corp can be either a corporation or an LLC , which just need to elect to be an S-Corp for tax status. In an S-Corp, income is passed through directly to shareholders, who pay taxes on their share of business income on their personal tax returns.

We recommend that new business owners choose LLC as it offers liability protection and pass-through taxation while being simpler to form than a corporation. You can form an LLC in as little as five minutes using an online LLC formation service. They will check that your business name is available before filing, submit your articles of organization , and answer any questions you might have.

Form Your LLC

Choose Your State

We recommend ZenBusiness as the Best LLC Service for 2024

Step 6: Register for Taxes

The final step before you’re able to pay taxes is getting an Employer Identification Number , or EIN. You can file for your EIN online or by mail or fax: visit the IRS website to learn more. Keep in mind, if you’ve chosen to be a sole proprietorship you can simply use your social security number as your EIN. 

Once you have your EIN, you’ll need to choose your tax year. Financially speaking, your business will operate in a calendar year (January–December) or a fiscal year, a 12-month period that can start in any month. This will determine your tax cycle, while your business structure will determine which taxes you’ll pay.

The IRS website also offers a tax-payers checklist , and taxes can be filed online.

It is important to consult an accountant or other professional to help you with your taxes to ensure you are completing them correctly.

Step 7: Fund your Business

Securing financing is your next step and there are plenty of ways to raise capital:

• Bank loans: This is the most common method but getting approved requires a rock-solid business plan and strong credit history.
• SBA-guaranteed loans: The Small Business Administration can act as guarantor, helping gain that elusive bank approval via an SBA-guaranteed loan .
• Government grants: A handful of financial assistance programs help fund entrepreneurs. Visit Grants.gov to learn which might work for you.
• Friends and Family: Reach out to friends and family to provide a business loan or investment in your concept. It’s a good idea to have legal advice when doing so because SEC regulations apply.
• Crowdfunding: Websites like Kickstarter and Indiegogo offer an increasingly popular low-risk option, in which donors fund your vision. Entrepreneurial crowdfunding sites like Fundable and WeFunder enable multiple investors to fund your business.
• Personal: Self-fund your business via your savings or the sale of property or other assets.

Bank and SBA loans are probably the best option, other than friends and family, for funding a movie theater. You might also try crowdfunding if you have an innovative concept.  

Step 8: Apply for Movie Theater Business Licenses and Permits

Starting a movie theater requires obtaining a number of licenses and permits from local, state, and federal governments.

Federal regulations, licenses, and permits associated with starting your business include doing business as (DBA), health licenses and permits from the Occupational Safety and Health Administration ( OSHA ), trademarks, copyrights, patents, and other intellectual properties, as well as industry-specific licenses and permits. 

You may also need state-level and local county or city-based licenses and permits. The license requirements and how to obtain them vary, so check the websites of your state, city, and county governments or contact the appropriate person to learn more. 

You could also check this SBA guide for your state’s requirements, but we recommend using MyCorporation’s Business License Compliance Package . They will research the exact forms you need for your business and state and provide them to ensure you’re fully compliant.

This is not a step to be taken lightly, as failing to comply with legal requirements can result in hefty penalties.

If you feel overwhelmed by this step or don’t know how to begin, it might be a good idea to hire a professional to help you check all the legal boxes.

Step 9: Open a Business Bank Account

Before you start making money, you’ll need a place to keep it, and that requires opening a bank account .

Keeping your business finances separate from your personal account makes it easy to file taxes and track your company’s income, so it’s worth doing even if you’re running your movie theater as a sole proprietorship. Opening a business bank account is quite simple, and similar to opening a personal one. Most major banks offer accounts tailored for businesses — just inquire at your preferred bank to learn about their rates and features.

Banks vary in terms of offerings, so it’s a good idea to examine your options and select the best plan for you. Once you choose your bank, bring in your EIN (or Social Security Number if you decide on a sole proprietorship), articles of incorporation, and other legal documents and open your new account. 

Step 10: Get Business Insurance

Business insurance is an area that often gets overlooked yet it can be vital to your success as an entrepreneur. Insurance protects you from unexpected events that can have a devastating impact on your business.

Here are some types of insurance to consider:

• General liability: The most comprehensive type of insurance, acting as a catch-all for many business elements that require coverage. If you get just one kind of insurance, this is it. It even protects against bodily injury and property damage.
• Business Property: Provides coverage for your equipment and supplies.
• Equipment Breakdown Insurance: Covers the cost of replacing or repairing equipment that has broken due to mechanical issues.
• Worker’s compensation: Provides compensation to employees injured on the job.
• Property: Covers your physical space, whether it is a cart, storefront, or office.
• Commercial auto: Protection for your company-owned vehicle.
• Professional liability: Protects against claims from a client who says they suffered a loss due to an error or omission in your work.
• Business owner’s policy (BOP): This is an insurance plan that acts as an all-in-one insurance policy, a combination of the above insurance types.

Step 11: Prepare to Launch

As opening day nears, prepare for launch by reviewing and improving some key elements of your business. 

Essential software and tools

Being an entrepreneur often means wearing many hats, from marketing to sales to accounting, which can be overwhelming. Fortunately, many websites and digital tools are available to help simplify many business tasks.  

You may want to use industry-specific software, such as  Veezi , JACRO , or Ticketor , to manage ticketing, develop mobile apps, and create digital signage. 

• Popular web-based accounting programs for smaller businesses include Quickbooks , Freshbooks , and Xero . 
• If you’re unfamiliar with basic accounting, you may want to hire a professional, especially as you begin. The consequences for filing incorrect tax documents can be harsh, so accuracy is crucial.

Develop your website

Website development is crucial because your site is your online presence and needs to convince prospective clients of your expertise and professionalism.

You can create your own website using services like WordPress, Wix, or Squarespace . This route is very affordable, but figuring out how to build a website can be time-consuming. If you lack tech-savvy, you can hire a web designer or developer to create a custom website for your business.

They are unlikely to find your website, however, unless you follow Search Engine Optimization ( SEO ) practices. These are steps that help pages rank higher in the results of top search engines like Google. 

Here are some powerful marketing strategies for your future business:

• Strategic Partnerships: Collaborate with local restaurants for cross-promotions, offering discounts or package deals that include dinner and a movie, creating a win-win for both businesses.
• Local SEO  — Regularly update your Google My Business and Yelp profiles to strengthen your local search presence.
• Themed Movie Nights: Organize themed movie nights to attract niche audiences; for example, classic movie marathons, date nights, or family-friendly weekends.
• Loyalty Programs: Introduce loyalty programs that reward frequent customers with discounts, free tickets, or concession upgrades to encourage repeat visits.
• Social Media Engagement: Leverage social media platforms to engage with your audience through interactive content, polls, and behind-the-scenes glimpses to build a sense of community around your theater.
• Exclusive Premieres and Events: Host exclusive premieres, red-carpet events, or Q&A sessions with filmmakers to create buzz and position your theater as a go-to destination for film enthusiasts.
• Student and Senior Discounts: Attract a broader audience by offering discounted tickets for students and seniors on specific days or times, making your theater more accessible to different demographics.
• Matinee Specials: Introduce matinee specials during off-peak hours to entice budget-conscious customers, providing an additional revenue stream during slower periods.
• Local Sponsorships: Seek sponsorships from local businesses to fund special screenings or events, enhancing your community presence while generating additional revenue.
• Mobile App Integration: Develop a mobile app for easy ticket purchasing, personalized recommendations, and exclusive mobile-only promotions to enhance the overall customer experience.
• Customer Feedback Incentives: Encourage customer feedback by offering incentives such as discounts or free concessions, showing that you value their opinions and are committed to continuous improvement.

Focus on USPs

Unique selling propositions, or USPs, are the characteristics of a product or service that sets it apart from the competition. Customers today are inundated with buying options, so you’ll have a real advantage if they are able to quickly grasp how your movie theater meets their needs or wishes. It’s wise to do all you can to ensure your USPs stand out on your website and in your marketing and promotional materials, stimulating buyer desire. 

Global pizza chain Domino’s is renowned for its USP: “Hot pizza in 30 minutes or less, guaranteed.” Signature USPs for your movie theater could be:

• Where Hollywood meets hometown!
• Fantastic film fun for the whole family
• More than just movies – cinema bar and cafe 

You may not like to network or use personal connections for business gain. But your personal and professional networks likely offer considerable untapped business potential. Maybe that Facebook friend you met in college is now running a movie theater, or a LinkedIn contact of yours is connected to dozens of potential clients. Maybe your cousin or neighbor has been working in the film industry for years and can offer invaluable insight and industry connections. 

The possibilities are endless, so it’s a good idea to review your personal and professional networks and reach out to those with possible links to or interest in movie theaters. You’ll probably generate new customers or find companies with which you could establish a partnership. 

Step 12: Build Your Team

If you’re starting out small from a home office, you may not need any employees. But as your business grows, you will likely need workers to fill various roles. Potential positions for a movie theater include:

• Cashier – Greet customers, sell tickets
• Concessions Workers – Prepare and serve food, collect payments
• Theater Manager – Manage employees, maintain inventory
• Film Operator – Manage projector and sound, troubleshoot equipment

At some point, you may need to hire all of these positions or simply a few, depending on the size and needs of your business. You might also hire multiple workers for a single role or a single worker for multiple roles, again depending on need. 

Free-of-charge methods to recruit employees include posting ads on popular platforms such as LinkedIn, Facebook, or Jobs.com. You might also consider a premium recruitment option, such as advertising on Indeed , Glassdoor , or ZipRecruiter . Further, if you have the resources, you could consider hiring a recruitment agency to help you find talent. 

Step 13: Run a Movie Theater – Start Making Money!

As movie-goers head back to the big screen, it’s the perfect time to start your own cinema. It will take hard work, but it’s a rewarding way to make a living, and your movie theater could become everyone’s favorite hang-out spot!  

Now that you’ve done your homework, it’s time to put your entrepreneurial insights to good use and spark up that projector. 

Leave a Reply Cancel reply

Your email address will not be published. Required fields are marked *

Save my name, email, and website in this browser for the next time I comment.

• Decide if the Business Is Right for You
• Hone Your Idea
• Brainstorm a Movie Theater Name
• Create a Movie Theater Business Plan
• Register Your Business
• Register for Taxes
• Fund your Business
• Apply for Movie Theater Business Licenses and Permits
• Open a Business Bank Account
• Get Business Insurance
• Prepare to Launch
• Build Your Team
• Run a Movie Theater - Start Making Money!

Subscribe to Our Newsletter

Featured resources.

17 Business Ideas that Help the Community

Esther Strauss

Published on July 29, 2022

Just about everybody wants to live in a warm, welcoming close-knit community, and you can help build one by starting a business that helps peopleliv ...

44 Exciting Entertainment Business Ideas to Start Today

Natalie Fell

Published on July 13, 2022

Let the good times roll! With entertainment outlets now open and people coming together for all kinds of celebrations, the entertainment industry is ...

49 Small Town Business Ideas to Boost Your Community

Published on June 30, 2022

You might think you can’t do business in a small town. But did you know that some major corporations are based in small towns? Walmart is inBenton ...

No thanks, I don't want to stay up to date on industry trends and news.

Expert business plan and financial models

Movie Theater Business Plan Template & PDF Example

• September 4, 2024
• Business Plan

Creating a comprehensive business plan is crucial for launching and running a successful movie theater. This plan serves as your roadmap, detailing your vision, operational strategies, and financial plan. It helps establish your movie theater’s identity, navigate the competitive market, and secure funding for growth.

This article not only breaks down the critical components of a movie theater business plan, but also provides an example of a business plan to help you craft your own.

Whether you’re an experienced entrepreneur or new to the recreation industry, this guide, complete with a business plan example, lays the groundwork for turning your movie theater business concept into reality. Let’s dive in!

Our movie theater business plan is structured to cover all essential aspects needed for a comprehensive strategy. It outlines the theater’s operations, marketing strategy, market environment, competitors, management team, and financial forecasts.

• Executive Summary : Offers an overview of your movie theater’s business concept, market analysis , management, and financial strategy.
• Facility & Location: Describes the theater’s design, amenities, and why its location is appealing to potential clients.
• Services & Rates: Lists the services provided by your movie theater, including types of screenings, amenities, and pricing structure.
• Key Stats: Shares industry size , growth trends, and relevant statistics for the movie theater market.
• Key Trends: Highlights recent trends affecting the movie theater sector.
• Key Competitors: Analyzes main competitors nearby and how your theater differs from them.
• SWOT : Strengths, weaknesses, opportunities, and threats analysis.
• Marketing Plan : Strategies for attracting and retaining customers.
• Timeline : Key milestones and objectives from start-up through the first year of operation.
• Management: Information on who manages the movie theater and their roles.
• Financial Plan: Projects the theater’s 5-year financial performance, including revenue, profits, and expected expenses.

Movie Theater Business Plan

Fully editable 30+ slides Powerpoint presentation business plan template.

Download an expert-built 30+ slides Powerpoint business plan template

Executive Summary

The Executive Summary introduces your movie theater’s business plan, offering a concise overview of your theater and its services. It should detail your market positioning, the range of movies and special events you offer, its location, size, and an outline of day-to-day operations.

This section should also explore how your movie theater will integrate into the local market, including the number of direct competitors within the area, identifying who they are, along with your theater’s unique selling points that differentiate it from these competitors.

Furthermore, you should include information about the management and co-founding team, detailing their roles and contributions to the theater’s success. Additionally, a summary of your financial projections, including revenue and profits over the next five years, should be presented here to provide a clear picture of your theater’s financial plan.

Movie Theater Business Plan Executive Summary Example

Business overview.

For a movie theater, the Business Overview section can be concisely divided into 2 main slides:

Facility & Location

Briefly describe the theater’s physical environment, emphasizing its design, comfort, and the overall atmosphere that welcomes patrons. Mention the theater’s location, highlighting its accessibility and the convenience it offers to visitors, such as proximity to shopping centers or ease of parking. Explain why this location is advantageous in attracting your target audience .

Services & Rates

Detail the range of movies and special events offered, from blockbuster films to indie features and live broadcasts of events such as concerts or sports. Outline your pricing strategy , ensuring it reflects the quality of the viewing experience and matches the market you’re targeting. Highlight any packages, membership deals, or loyalty programs that provide added value to your patrons, encouraging repeat visits and customer loyalty.

Market Overview

Industry Size & Growth

In the Market Overview of your movie theater business plan, start by examining the size of the cinema industry and its growth potential. This analysis is crucial for understanding the market’s scope and identifying expansion opportunities.

Key Market Trends

Proceed to discuss recent market trends , such as the increasing consumer interest in immersive viewing experiences, diverse film offerings, and enhanced amenities. Highlight the demand for premium formats like IMAX and 3D, the popularity of themed movie nights, and the integration of advanced technology such as recliner seating and enhanced sound systems.

Competitive Landscape

A  competitive analysis  is not just a tool for gauging the position of your movie theater in the market and its key competitors; it’s also a fundamental component of your business plan.

This analysis helps in identifying your movie theater’s unique selling points, essential for differentiating your business in a competitive market.

In addition, the competitive analysis is integral in laying a solid foundation for your business plan. By examining various operational aspects of your competitors, you gain valuable information that ensures your business plan is robust, informed, and tailored to succeed in the current market environment.

Identifying Your Competitors in the Movie Theater Industry

The first step in competitive analysis is to identify who your competitors are. Start by listing other movie theaters in your vicinity. For instance, if your theater is known for showcasing indie films, your direct competitors include nearby cinemas that also focus on indie films, as well as multiplexes that offer a wider range of film genres. It’s important not to overlook indirect competitors like streaming services or community centers that host movie nights.

Utilize online resources such as Google Maps for a geographical overview of where competitors are located. Websites like TripAdvisor and Yelp can provide customer reviews and ratings, which offer insights into the  strengths and weaknesses  of these competitors. For example, if a competitor receives high praise for its luxurious seating and state-of-the-art sound systems, this indicates a key strength you might need to match or surpass.

Movie Theater Competitors’ Strategies

Evaluating the strategies of your competitors can cover several areas:

• Movie Selections:  Analyze the variety of films they offer. If a nearby theater, “Cinema Art,” is successfully attracting large crowds with its exclusive screenings of foreign films, this suggests a trend towards a more culturally diverse movie offering that you might consider.
• Theater Amenities : Consider the facilities and amenities offered. A theater like “RetroView Cinema” that provides a nostalgic experience with classic films might attract a different demographic compared to a modern theater equipped with the latest technology.
• Pricing Strategy :  Compare your ticket prices with those of your competitors. Are your tickets priced competitively with the budget-friendly “Family Fun Cinema,” or are they closer to the premium experience offered by “LuxCine”?
• Marketing Tactics:  Observe how competitors market their movies. Are they leveraging heavy social media advertising, or do they focus on partnerships with local businesses and community engagement?
• Customer Experience:  Evaluate the overall experience offered. For example, “Comfy Cinema” might be renowned for its exceptional customer service and comfortable viewing experience, which enhances customer satisfaction.
• Operational Efficiency:  Notice if competitors use technology or innovative processes to enhance their service, such as advanced online booking systems or self-service concession stands.

What’s Your Movie Theater’s Value Proposition?

Reflect on what makes your movie theater unique. Perhaps it’s the exclusive access to limited-release films, or maybe you offer a luxurious viewing experience with gourmet concessions not available elsewhere in your area.

Identify market gaps through customer feedback and entertainment trends. For instance, the increasing demand for immersive movie experiences like 3D or IMAX could be a significant opportunity if competitors are not already capitalizing on this trend.

Consider your location: A theater in a bustling city center may focus on late-night showings for adults, whereas a theater in a suburban area might cater more to families and early screenings.

First, conduct a SWOT analysis for the movie theater , highlighting Strengths (such as state-of-the-art facilities and a diverse movie selection), Weaknesses (including high operational costs or strong competition from streaming services), Opportunities (for example, growing interest in immersive experiences and special events), and Threats (such as economic downturns that may decrease consumer spending on entertainment).

Marketing Plan

Next, develop a marketing strategy that outlines how to attract and retain patrons through targeted advertising, promotional discounts, an engaging social media presence, and community involvement.

Marketing Channels

Leveraging various marketing channels is instrumental in effectively reaching and engaging your audience.

Digital Marketing

• Harnessing Digital Platforms:  Utilize social media platforms such as Facebook, Twitter, and Instagram to announce upcoming movies, share trailers, host engaging contests, and foster interactive discussions with your audience.
• Email Marketing:  Cultivate an engaged subscriber list and disseminate newsletters highlighting upcoming movie releases, exclusive offers, and behind-the-scenes glimpses to sustain audience interest.
• Website and SEO:  Develop a user-friendly website showcasing movie schedules, an intuitive online ticket booking system, and a blog featuring film reviews and industry insights. Optimize for local SEO to bolster visibility.

Local Advertising

• Community Engagement:  Establish connections within the local community through strategic advertising initiatives.
• Strategic Billboards and Posters:  Strategically place visually appealing billboards and posters in high-traffic areas to showcase blockbuster releases and special screenings, effectively captivating attention.
• Collaborations and Sponsorships:  Forge partnerships with local businesses, schools, or community events to sponsor film nights or organize collaborative promotional ventures that resonate with the local audience.

Promotional Activities

Enticing Audiences: Create enthralling experiences and offers to capture the interest of moviegoers.

• Special Screenings and Events:  Curate themed nights, midnight screenings, or exclusive early premieres to generate excitement and anticipation for upcoming releases.
• Discounts and Loyalty Programs:  Tailor discounts and loyalty programs for specific groups, such as seniors or students, while fostering loyalty among regular moviegoers through rewards and incentives.
• Partnerships and Cross-Promotions:  Collaborate with restaurants or cafes to offer movie-and-dining deals and engage local influencers for promotional events, widening your audience reach.

Sales Channels

Implementing diverse  sales channels  is instrumental in augmenting revenue streams and enhancing customer satisfaction.

In-Theater Upselling

• Enhancing the Movie Experience:  Elevate the cinematic experience for patrons within the theater premises.
• Concession Packages and Upgrades:  Promote bundled concession packages or exclusive deals on food and beverages. Offer premium seating options or upgrades to elevate the movie-watching experience.
• Merchandise Sales:  Retail movie-related merchandise like posters, t-shirts, or collectibles in the lobby or through an online store, providing patrons with tangible souvenirs.

Online Booking and Sales

• Streamlined Ticket Purchases:  Simplify the ticket purchasing process and enhance convenience for moviegoers.
• Efficient Online Ticketing System:  Develop an intuitive online booking system offering easy access to movie schedules and seat reservations. Provide exclusive online deals or early booking discounts to incentivize online purchases.
• Gift Cards and Vouchers:  Offer gift cards or vouchers online, allowing patrons to purchase movie tickets, concessions, or access to special screenings, making for ideal gift options.

Membership and Loyalty Programs

• Fostering Customer Loyalty:  Cultivate repeat visits and reward customer loyalty through specialized programs.
• Membership Perks:  Design membership programs featuring exclusive perks like advance screenings, invitation-only events, or discounted ticket rates, enticing patrons to join.
• Loyalty Rewards:  Implement a loyalty program where patrons accumulate points with every ticket purchase, redeemable for complimentary tickets, concessions, or merchandise.

Strategy Timeline

Finally, create a detailed timeline that outlines critical milestones for the movie theater’s opening, marketing efforts, audience growth, and expansion objectives, ensuring the business moves forward with clear direction and purpose.

The Management section focuses on the movie theater’s management and their direct roles in daily operations and strategic direction. This part is crucial for understanding who is responsible for making key decisions and driving the movie theater toward its financial and operational goals.

For your movie theater business plan, list the core team members, their specific responsibilities, and how their expertise supports the business.

Financial Plan

The Financial Plan section is a comprehensive analysis of your financial projections for revenue, expenses, and profitability. It lays out your movie theater’s approach to securing funding, managing cash flow, and achieving breakeven.

This section typically includes detailed forecasts for the first 5 years of operation, highlighting expected revenue, operating costs and capital expenditures.

For your movie theater business plan, provide a snapshot of your financial statement (profit and loss, balance sheet, cash flow statement), as well as your key assumptions (e.g. number of customers and prices, expenses, etc.).

Make sure to cover here _ Profit and Loss _ Cash Flow Statement _ Balance Sheet _ Use of Funds

Related Posts

Nightclub Business Plan Template & PDF Example

Paintball Business Plan Template & PDF Example

Golf Course Business Plan Template & PDF Example

Privacy overview.

How to Write a Film Business Plan in 2024 (+ Examples)

Discover how to create an effective film or movie production business plan for 2024, ensuring your project stands out in the competitive cinema industry.

8 minute read

helped business professionals at:

Short answer

What is a film business plan?

A film business plan outlines the financial, operational, and marketing strategies of a film project.

It serves as a blueprint for production and a tool to attract investors, detailing budget, target audience, distribution, and potential returns.

You must rule the business field, otherwise your film fades into obscurity

Why do some films soar while others sink into the abyss of forgotten dreams? Is it just the whims of fate, or is there a missing piece in the puzzle that dictates this divide? The truth hits harder than one might expect: neglecting a solid film business plan can silently torpedo even the most promising projects.

In the fiercely competitive realm of cinema, overlooking the strategic underpinnings of film production doesn’t just risk obscurity-it nearly guarantees it.

This blog post unfolds the blueprint to wielding a film business plan as your most potent weapon, ensuring your cinematic vision doesn’t just flicker in the dark but blazes brightly for the world to see.

How to make an effective film business plan?

An effective film business plan is more than just paperwork; it's the roadmap to your project's success.

It blends vision with reality, guiding you and convincing others of your film's potential.

Here’s what makes it work:

Set clear targets

Before diving into the numbers and marketing strategies, you need to define what success looks like for your film.

This foundation will guide every decision you make moving forward.

Specify film goals: Are you aiming for festival acclaim, box office success, or critical recognition? Define this early on.

Establish benchmarks: What milestones must you hit during production and post-production to stay on track?

Measure success: Decide how you'll evaluate the success of your film, whether through audience reach, revenue, or awards.

Craft your budget

A well-thought-out budget is critical to securing funding and managing your resources efficiently.

It reflects the cost of turning your vision into reality and demonstrates financial acumen to potential investors.

Detail expense allocation: Break down your budget into categories like pre-production, production, post-production, marketing, and distribution.

Forecast production costs: Estimate the costs associated with each phase, including cast and crew salaries, location fees, set design, and equipment rental.

Secure financial backups: Plan for unexpected expenses by setting aside a contingency fund. This proactive approach reassures investors that you’re prepared for unforeseen challenges.

Analyze the market

Understanding the marketplace and where your film fits within it is crucial for positioning and eventually selling your film.

Pinpoint target demographics: Who is your film for? Identifying your audience informs your marketing strategy and distribution plan.

Study market competitors: Analyze films similar to yours that have succeeded or failed. What can you learn from them?

Track industry trends: Stay updated on shifts within the film industry, from emerging genres to changes in consumer behavior and distribution platforms.

Plan distribution

A distribution strategy outlines how you’ll bring your film to your audience, making it a critical component of your business plan.

Select distribution channels: Will your film be released in theaters, streamed online, or both? Each platform offers different advantages and challenges.

Schedule release phases: Timing can impact your film’s success. Plan your release around film festivals, awards seasons, or other strategic dates.

Project revenue streams: Estimate how much revenue your film will generate from each distribution channel. This projection helps in setting realistic financial goals and appealing to investors.

8 key components every film business plan needs

Crafting a film business plan is like drawing a map for your project's journey to success.

Here are the essential components you need to include to thrive in the competitive landscape:

Executive summary : Start with a bang! Your summary should hook readers by succinctly presenting the film's concept, its unique selling points, and why it's bound for success.

Financial projections: Show me the money. Include detailed forecasts covering production costs, marketing expenses, and potential revenue. Use clear, digestible figures.

Market analysis: Know your battlefield. Dive deep into the film industry's current landscape, identifying trends, opportunities, and potential challenges.

Target audience: Who's watching? Define your primary viewers by demographics, interests, and viewing habits, tailoring your film to meet their expectations.

Production timeline: What's the plan? Provide a clear timeline for pre-production, shooting, post-production, and release, ensuring a roadmap to follow.

Team bios: Who's behind the magic? Highlight the experience, achievements, and roles of key team members. The team bio slide demonstrates why they're right for the project.

Risk management: Prepare for the unexpected. Identify potential risks, from budget overruns to delays, and how you plan to mitigate them, ensuring you're ready for anything.

Marketing and distribution plan: Get the word out. Outline your strategy for promoting your film, incorporating marketing plan templates to enhance your approach. From social media campaigns to film festivals, detail how you plan to distribute it.

7 film business plan examples for winning partners and investors

These seven examples focus on showcasing the project's distinctive features, proving market appeal, and highlighting past achievements.

They also offer thorough financial forecasts, detailed strategies for distribution, present marketing tactics, and stress the team's dedication and expertise.

1) Documentary proposal

Outline your vision for a gripping documentary that connects deeply with viewers and investors.

Market focus: Targets audiences interested in real-world issues, educational content, and social change. The proposal underscores the documentary's relevance and potential impact on society.

Operational model: Highlights on-location filming, expert interviews, and archival footage. It emphasizes storytelling technique and narrative structure.

Financial projections: Outlines funding needs for research, travel, and post-production editing. It details potential funding sources like grants, crowdfunding, and sponsorships.

2) TV series pitch deck

Present your TV series’ unique world and characters in a way that grabs attention and excites networks.

Market focus: Aim at specific demographics craving serialized storytelling. It showcases the series' unique selling proposition and potential for audience engagement.

Operational model: Describes the production setup, episode scheduling, and potential for multiple seasons. It emphasizes character development and plot arcs.

Financial projections: Project revenue from advertising, syndication, and streaming platforms. It calculates production costs per episode and potential ROI.

3) Movie pitch deck

Showcase your movie's potential with a visually striking pitch that highlights its blockbuster appeal.

Market focus: Targets movie-goers looking for specific genres or themes. The pitch deck captures the film's appeal and its fit in the current cinematic landscape.

Operational model: Details the filming timeline, post-production process, and key creative talents involved. It highlights cinematography, special effects, and soundtrack.

Financial projections: Estimates box office earnings, streaming rights sales, and ancillary revenues. It includes budget requirements for production and marketing.

4) Film production proposal

Detail the step-by-step journey of bringing your film from concept to screen, ensuring clarity and confidence.

Market focus: Caters to investors and stakeholders with an interest in backing profitable film projects. It outlines the film's market potential and target audience.

Operational model: Outlines pre-production planning, shooting schedule, and post-production workflow. It stresses efficiency, innovation, and quality control.

Financial projections: Details budget allocation, expected funding sources, and return on investment timelines. It emphasizes cost control and revenue maximization strategies.

5) Film sponsorship proposal

Demonstrate how partnering with your film offers sponsors a unique opportunity to engage with their target audience.

Market focus: Target brands and businesses looking to align with the film's theme or audience for promotional benefits. It illustrates demographic alignment and marketing opportunities.

Operational model: Describes promotional activities, branded content integration, and sponsor visibility throughout the film and its marketing materials.

Financial projections: Details sponsorship tiers, benefits for each level, and expected contribution towards the film's budget. It underlines the mutual value exchange.

6) Comedy show proposal

Pitch your comedy show as the next big hit, emphasizing its humor, format, and audience appeal.

Market focus: Aim at viewers seeking entertainment, humor, and relief from everyday stresses. It underscores the show's comedic style and potential fan base.

Operational model: Highlights the format, frequency of episodes, and comedic talent involved. It details the production setup for live performances or studio recordings.

Financial projections: Project revenue from ticket sales, streaming platforms, and merchandise. It outlines budget requirements for talent, production, and marketing.

7) Short film proposal

Concisely convey your short film's narrative, style, and impact to capture the interest of festivals and financiers.

Market focus: Targets film enthusiasts, festivals, and digital platforms looking for innovative, concise storytelling. It details the short film’s thematic uniqueness and appeal.

Operational model: Describes the compact production schedule, creative process, and distribution strategy for film festivals and online viewing.

Financial projections: Estimates production costs, potential prize winnings, and revenue from online distribution. It includes funding strategies such as crowdfunding or grants.

How can you design a film business plan?

A film business plan is akin to a movie trailer, designed to showcase and persuade.

It outlines the project's path, from concept to distribution, emphasizing its unique aspects and potential success.

This plan details marketing strategies, financials, and audience engagement, serving as a blueprint for navigating the film industry and highlighting the project's viability and impact.

8 film business plan design tips:

1. Embrace scrollytelling

Scrollytelling , or scroll-based storytelling, brings your proposal to life, turning static information into an interactive journey.

This approach keeps readers hooked, transforming your business plan into an engaging story.

Here's a great example of scrollytelling in action:

2. Incorporate interactivity and multimedia

Move beyond traditional documents by including interactive elements like teaser trailers, character explorations, or virtual set tours.

These features not only spotlight your film's unique aspects but also maintain investor interest.

3. Use data visualization

Display market analysis, audience demographics, and financial forecasts with clear visuals.

Convert intricate data into straightforward graphs, charts, and infographics, making your strategy visually enticing and easy to understand.

Here's a great example of a data visualization slide:

4. Personalize your deck

Use tools that allow customization, such as integrating the viewer's name or tailoring content to specific investor queries.

Personal touches can create a deeper connection and show thorough attention to detail.

Here's an example of a personalized proposal slide:

5. Use cohesive branding

Ensure your business plan mirrors your film's branding through consistent colors, fonts, and imagery.

This not only improves aesthetic appeal but also immerses your audience in the world you're building.

Here's an example of a branded deck:

6. Design for all devices

In today's mobile-first world, your proposal needs to look great on any device.

Responsive design ensures that your proposal adapts to different screen sizes, providing a seamless experience whether it's viewed on a desktop, tablet, or smartphone.

Here's what a responsive deck looks like:

7. Highlight key information

Strategically present your business plan to emphasize crucial data.

Use content placement and highlights to direct focus to important details, allowing your key points to shine without overwhelming your audience.

8. Add interactive elements

Incorporate interactive elements like clickable tabs , expandable sections , or embedded ROI calculators that prospects can adjust to see the potential return on their investment.

These features not only make your proposal more engaging but also allow readers to explore your product in a way that's hands-on and make its benefits more tangible.

Here's what a static deck looks versus an interactive one:

Interactive film business plan templates

Drafting a film business plan is complex, requiring knowledge of your project, storytelling, and financial planning.

Interactive film proposal templates offer a structured start, saving you from design headaches and blank page woes. With customizable options, easily incorporate your film’s unique flair and specifics.

Explore our curated selection to kickstart your film business plan.

I am a Marketing Specialist at Storydoc, I research, analyze and write on our core topics of business presentations, sales, and fundraising. I love talking to clients about their successes and failures so I can get a rounded understanding of their world.

Found this post useful?

Subscribe to our monthly newsletter.

Get notified as more awesome content goes live.

(No spam, no ads, opt-out whenever)

You've just joined an elite group of people that make the top performing 1% of sales and marketing collateral.

Make your best business plan to date.

Stop losing opportunities to ineffective presentations. Your new amazing deck is one click away!

• Sample Business Plans
• Entertainment & Media

Theater Business Plan

The popularity of theater remains intact for the immersive entertainment experience it offers. It is indeed a rewarding business if it continues to evolve with emerging trends.

Anyone can start a theater but it takes a visioned entrepreneur to turn it into a lucrative business opportunity. A detailed business plan can help you get started, raise funds and stay profitable.

Need help writing a business plan for your theater? You’re at the right place. Our theater business plan template will help you get started.

Free Business Plan Template

Download our free theater business plan template now and pave the way to success. Let’s turn your vision into an actionable strategy!

• Fill in the blanks – Outline
• Financial Tables

How To Write A Theater Business Plan?

Writing a theater business plan is a crucial step toward the success of your business. Here are the key steps to consider when writing a business plan:

1. Executive Summary

An executive summary is the first section planned to offer an overview of the entire business plan. However, it is written after the entire business plan is ready and summarizes each section of your plan.

Here are a few key components to include in your executive summary:

• Introduce your Business: Start your executive summary by briefly introducing your business to your readers.This section may include the name of your theater, its location, when it was founded, the type of theater (E.g., single-screen theater, multiplex, art theaters, micro theater), etc.
• Market Opportunity: Summarize your market research, including market size, growth potential, and marketing trends. Highlight the opportunities in the market and how your business will fit in to fill the gap.
• Theater Services: Highlight the theater services you offer your clients. The USPs and differentiators you offer are always a plus.For instance, you may include theater, concession stand services, and private screening as services and mention enhanced viewing experience and luxury setting as some of your USPs.
• Marketing & Sales Strategies: Outline your sales and marketing strategies—what marketing platforms you use, how you plan on acquiring customers, etc.
• Financial Highlights: Briefly summarize your financial projections for the initial years of business operations. Include any capital or investment requirements, associated startup costs, projected revenues, and profit forecasts.
• Call to Action: Summarize your executive summary section with a clear CTA, for example, inviting angel investors to discuss the potential business investment.

Ensure your executive summary is clear, concise, easy to understand, and jargon-free.

Say goodbye to boring templates

Build your business plan faster and easier with AI

Plans starting from $7/month

2. Business Overview

The business overview section of your business plan offers detailed information about your company. The details you add will depend on how important they are to your business. Yet, business name, location, business history, and future goals are some of the foundational elements you must consider adding to this section:

• Multiplex theater
• IMAX theater
• Drive-in theater
• Art house theater
• Microcinema
• Describe the legal structure of your theater, whether it is a sole proprietorship, LLC, partnership, or others.
• Explain where your business is located and why you selected the place.
• Owners: List the names of founders or owners at your theater company. Describe what shares they own and their responsibilities for efficiently managing the business.
• Mission Statement: Summarize your business’ objective, core principles, and values in your mission statement. This statement needs to be memorable, clear, and brief.
• Business History: If you’re an established theater service provider, briefly describe your business history, like—when it was founded, how it evolved over time, etc.Additionally, If you have received any awards or recognition for excellent work, describe them.
• Future Goals: It’s crucial to convey your aspirations and vision. Mention your short-term and long-term goals; they can be specific targets for revenue, market share, or expanding your services.

This section should provide a thorough understanding of your business, its history, and its future plans. Keep this section engaging, precise, and to the point.

3. Market Analysis

The market analysis section of your business plan should offer a thorough understanding of the industry with the target market, competitors, and growth opportunities. You should include the following components in this section.

• Target market: Start this section by describing your target market. Define your ideal customer and explain what types of services they prefer. Creating a buyer persona will help you easily define your target market to your readers.For instance, families, young adults, and audiences of niche tastes would be the ideal target audience for a regular multiplex theater.
• Market size and growth potential: Describe your market size and growth potential and whether you will target a niche or a much broader market.For instance, the movie theater industry is $8.7 billion dollars huge. It is therefore crucial to outline your obtainable market size and its growth potential.
• Competitive Analysis: Identify and analyze your direct and indirect competitors. Identify their strengths and weaknesses, and describe what differentiates your theater services from them. Point out how you have a competitive edge in the market.
• Market Trends: Analyze emerging trends in the industry, such as technology disruptions, changes in customer behavior or preferences, etc. Explain how your business will cope with all the trends.For instance, IMAX technologies and luxury movie experience have a booming market; explain how you plan on dealing with this potential growth opportunity.
• Regulatory Environment: List regulations and licensing requirements that may affect your theater company, such as theater registration, copyright and licensing requirements, age restriction compliances, alcohol permits, environmental regulations, state and federal regulations, etc.

Here are a few tips for writing the market analysis section of your theater business plan:

• Conduct market research, industry reports, and surveys to gather data.
• Provide specific and detailed information whenever possible.
• Illustrate your points with charts and graphs.
• Write your business plan keeping your target audience in mind.

4. Products And Services

The product and services section should describe the specific services and products that will be offered to customers. To write this section should include the following:

• Movie screening services
• Food and Beverages ( concession stands)
• Private screening
• Special screenings
• Cold drinks
• Alcoholic Beverages
• Quality measures: This section should explain how you maintain quality standards and consistently provide the highest quality service.This may include the ultimate screening experience, cleanliness, comfortable seating, customer service, and training of staff.
• Additional Services: Mention if your theater company offers any additional services. You may include services like, special screenings, midnight screenings, organizing film festivals, etc

In short, this section of your theater plan must be informative, precise, and client-focused. By providing a clear and compelling description of your offerings, you can help potential investors and readers understand the value of your business.

5. Sales And Marketing Strategies

Writing the sales and marketing strategies section means a list of strategies you will use to attract and retain your clients. Here are some key elements to include in your sales & marketing plan:

• Unique Selling Proposition (USP): Define your business’s USPs depending on the market you serve, the equipment you use, and the unique services you provide. Identifying USPs will help you plan your marketing strategies.For example, luxury seating, advanced movie screening experience, exceptional sound and video quality, and fresh and healthy food could be some of the great USPs for a luxury multiplex theater.
• Pricing Strategy: Describe your pricing strategy—how you plan to price your theater services and stay competitive in the local market. You can mention any discounts and offers you plan on offering to attract new viewers to your theater.
• Marketing Strategies: Discuss your marketing strategies to market your services. You may include some of these marketing strategies in your business plan—print marketing, social media marketing, Google ads, email marketing, and content marketing.
• Sales Strategies: Outline the strategies you’ll implement to maximize your sales. Your sales strategies may include introducing special offers, online ticketing, gift cards and vouchers, group packages, etc.
• Customer Retention: Describe your customer retention strategies and how you plan to execute them. For instance, birthday rewards, discounts on annual membership, engaging them through special events, etc.

Overall, this section of your movie theater business plan should focus on customer acquisition and retention.

Have a specific, realistic, and data-driven approach while planning sales and marketing strategies for your theater, and be prepared to adapt or make strategic changes in your strategies based on feedback and results.

6. Operations Plan

The operations plan section of your business plan should outline the processes and procedures involved in your business operations, such as staffing requirements and operational processes. Here are a few components to add to your operations plan:

• Staffing & Training: Mention your theater staffing requirements, including the number of employees or staff needed. A movie theater requires box office attendants, ushers, projectionists, security personnel, and concession stand attendees. Include their qualifications, the training required, and the duties they will perform.
• Operational Process: Outline the processes and procedures you will use to run your theater. Your operational processes may include selling tickets, maintaining concession stands, screening movies, organizing events, cleaning and maintenance, and training theater staff.
• Equipment & Machinery: Include the list of equipment and machinery required for the theater, such as screens, audio-visual technology, accessibility equipment, cleaning and maintenance equipment, etc.Explain how these technologies help you maintain quality standards and improve the efficiency of your business operations.

Adding these components to your operations plan will help you lay out your business operations, which will eventually help you manage your business effectively.

7. Management Team

The management team section provides an overview of your theater’s management team. This section should provide a detailed description of each manager’s experience and qualifications, as well as their responsibilities and roles.

• Founders/CEO: Mention the founders and CEO of your theater company, and describe their roles and responsibilities in successfully running the business.
• Organizational structure: Explain the organizational structure of your management team. Include the reporting line and decision-making hierarchy.
• Compensation Plan: Describe your compensation plan for the management and staff. Include their salaries, incentives, and other benefits.

This section should describe the key personnel for your theater services, highlighting how you have the perfect team to succeed.

8. Financial Plan

Your financial plan section should provide a summary of your business’s financial projections for the first few years. Here are some key elements to include in your financial plan:

• Profit & loss statement: Describe details such as projected revenue, operational costs, and service costs in your projected profit and loss statement. Make sure to include your business’s expected net profit or loss.
• Cash flow statement: The cash flow for the first few years of your operation should be estimated and described in this section. This may include billing invoices, payment receipts, loan payments, and any other cash flow statements.
• Balance Sheet: Create a projected balance sheet documenting your theater’s assets, liabilities, and equity.
• Financing Needs : Calculate costs associated with starting a theater, and estimate your financing needs and how much capital you need to raise to operate your business. Be specific about your short-term and long-term financing requirements, such as investment capital or loans.

Be realistic with your financial projections, and make sure you offer relevant information and evidence to support your estimates.

9. Appendix

The appendix section of your plan should include any additional information supporting your business plan’s main content, such as market research, legal documentation, financial statements, and other relevant information.

• Add a table of contents for the appendix section to help readers easily find specific information or sections.
• In addition to your financial statements, provide additional financial documents like tax returns, a list of assets within the business, credit history, and more. These statements must be the latest and offer financial projections for at least the first three or five years of business operations.
• Provide data derived from market research, including stats about the theater industry, user demographics, and industry trends.
• Include any legal documents such as permits, licenses, and contracts.
• Include any additional documentation related to your business plan, such as product brochures, marketing materials, operational procedures, etc.

Use clear headings and labels for each section of the appendix so that readers can easily find the necessary information.

Remember, the appendix section of your theater business plan should only include relevant and important information supporting your plan’s main content.

The Quickest Way to turn a Business Idea into a Business Plan

Fill-in-the-blanks and automatic financials make it easy.

This sample theater business plan will provide an idea for writing a successful theater plan, including all the essential components of your business.

After this, if you still need clarification about writing an investment-ready business plan to impress your audience, download our theater business plan pdf .

Related Posts

Music Business Plan

YouTube Business Plan

10 Key Elements of Business Plans

Best AI Tool for Startup

Best Business Plan Example

Business Planning Making Guide

Frequently Asked Questions

Why do you need a theater business plan.

A business plan is an essential tool for anyone looking to start or run a successful theater business. It helps to get clarity in your business, secures funding, and identifies potential challenges while starting and growing your business.

Overall, a well-written plan can help you make informed decisions, which can contribute to the long-term success of your theater company.

How to get funding for your theater business?

There are several ways to get funding for your theater business, but self-funding is one of the most efficient and speedy funding options. Other options for funding are:

• Bank loan – You may apply for a loan in government or private banks.
• Small Business Administration (SBA) loan – SBA loans and schemes are available at affordable interest rates, so check the eligibility criteria before applying for it.
• Crowdfunding – The process of supporting a project or business by getting a lot of people to invest in your business, usually online.
• Angel investors – Getting funds from angel investors is one of the most sought startup options.

Apart from all these options, there are small business grants available, check for the same in your location and you can apply for it.

How detailed should the financial projections be in my theater business plan?

The level of detail of the financial projections of your theater business may vary considering various business aspects like direct and indirect competition, pricing, and operational efficiency. However, your financial projections must be comprehensive enough to demonstrate a comprehensive view of your financial performance.

Generally, the statements included in a business plan offer financial projections for at least the first three or five years of business operations.

What key components should a theater business plan include?

The following are the key components your theater business plan must include:

• Executive summary
• Business Overview
• Market Analysis
• Products and services
• Sales and marketing strategies
• Operations plan
• Management team
• Financial plan

Can a good theater business plan help me secure funding?

Indeed. A well-crafted theater business will help your investors better understand your business domain, market trends, strategies, business financials, and growth potential—helping them make better financial decisions.

So, if you have a profitable and investable business, a comprehensive business plan can certainly help you secure your business funding.

What's the importance of a marketing strategy in a theater business plan?

Marketing strategy is a key component of your theater business plan. Whether it is about achieving certain business goals or helping your investors understand your plan to maximize their return on investment—an impactful marketing strategy is the way to do it!

Here are a few pointers to help you understand the importance of having an impactful marketing strategy:

• It provides your business an edge over your competitors.
• It helps investors better understand your business and growth potential.
• It helps you develop products with the best profit potential.
• It helps you set accurate pricing for your products or services.

About the Author

Upmetrics Team

Upmetrics is the #1 business planning software that helps entrepreneurs and business owners create investment-ready business plans using AI. We regularly share business planning insights on our blog. Check out the Upmetrics blog for such interesting reads. Read more

Turn your business idea into a solid business plan

Explore Plan Builder

Plan your business in the shortest time possible

No Risk – Cancel at Any Time – 15 Day Money Back Guarantee

Create a great Business Plan with great price.

• 400+ Business plan templates & examples
• AI Assistance & step by step guidance
• 4.8 Star rating on Trustpilot

Streamline your business planning process with Upmetrics .

Film and Video Production Business Plan [Sample Template]

By: Author Tony Martins Ajaero

Home » Business Plans » Media Sector

Are you about starting a film and video production company ? If YES, here is a complete sample film and video production business plan template & feasibility study you can use for FREE .

If you have ever come across a movie buff, chances are that you will notice the way at which they are able to analyze a movie for expertise or mediocrity. The truth is that these folks can tell when a movie has been well produced. This is one of the reasons why those who are at the helms of affair in the movie production business try their best to churn out quality stuff.

Starting a film and video production company is one of the best things that may happen to you. This is because of the promising nature of the trade. As a matter of fact millionaires are being made every time in the movie production world. Good news still remains that there are newbies every now and then.

Suggested for You

• Online Magazine Business Plan [Sample Template]
• YouTube Video Channel Business Plan [Sample Template]
• TV Station Business Plan [Sample Template]
• Radio Station Business Plan [Sample Template]
• Online Radio Station Business Plan [Sample Template]

A Sample Film and Video Production Business Plan Template

1. industry overview.

We can hardly talk about the film and video production industry without mentioning big players in the industry such as 21 st Century Fox, Time Warner, NBC Universal, The Walt Disney Company and Viacom Inc. et al. These are companies that truly define the trends in the industry.

Basically, film and video production industry is an industry that is responsible for producing and distributing motion pictures and videos. This industry does not include third-party providers such as distributors and disc manufacturers, as well as products, such as television shows and made-for-television movies, aimed specifically toward television et al.

Despite the fact that film and video production business can be expensive to run, the business is indeed a thriving business that has loads of players making huge profits from the industry. One thing is certain, if a film and video production company can successfully produce a major hit movie or musical video; it won’t be too long before video recording contracts come calling from all over the united states and beyond.

Players in the Film and Video Production industry struggled with mounting film production costs and of course the decline in theater/cinema attendance.

It is now common in recent times to find the average movie producers increasingly investing in high – end special effects hence they choose to shift their focus toward generating high ticket sales as against increasing the number of dramas and comedies, which usually generate comparatively lower revenue.

The industry is exploring now maximizing new distribution channels to continue to increase revenue generation so as to break even after spending huge sum of money to produce a movie.

Any entrepreneur who intends to start a film and video production company must be ready to pull enough cash to be able to acquire expensive film and video production gears, for location shooting equipment and professional movie editing software amongst many other expenses associated with movie production.

In other to cut cost especially when starting out, movie producers often rent shooting equipment for a fraction of its cost, which has helped limit the massive capital expenditures that would otherwise be necessary to produce major films.

For instance, in 2015 alone, for every dollar spent on labor, movie producers incur an estimated $0.22 in capital expenditures. In the last five years, capital intensity has remained fairly constant.

The Film and Video Production industry still depend on experts(highly skilled workers and artists) in all stages of the production process, and highly talented and hardworking employees are required for planning, shooting, editing and distributing films.

The Film and Video Production industry is indeed witnessing a steady growth over the years- especially in countries such as the United States, Nigeria, india and China et al. Though for some underdeveloped countries where piracy is still on rampage, the growth is a bit redundant.

Statistics has it that the Film and Video Production industry in the United States of America, is worth $34bn, with an estimated growth rate of 0.7 percent. There are about 6,527 registered and licensed film and video production companies in the United States and they are responsible for employing about 63,228 people.

One good thing about starting a film and video production business is that even if you decided to start it in the United States of America, your market would not be restricted to business opportunities in the U.S.; the world will be your target market.

Many thanks to the internet that has made the world a global village. All you need to do is to strategically position your film and video production brand on the internet and you will be amazed at the rate people will be calling you from all parts of the world.

2. Executive Summary

Film production is one art that requires a ton of skills. This is so that nothing short of the best is produced. Moonlight™ Film and Video Production Company is a one stop and standard film and video production company that is fully equipped with the latest technology in the film and video production industry.

Our film and video production studio will be located in the heart of Inglewood, Los Angeles – California, U.S and we are positioned to work for a wide range of client ranging from individual clients to corporate organizations, national clients to international clients and players in the Hollywood industry et al.

Moonlight™ Film and Video Production Company will engage in all aspect of business services synonymous to standard organization operating in the film and video production industry.

Our business goal is to work towards becoming one of the leading film and video production brand in the whole of Los Angeles and in the nearest future compete with the leaders in the industry not only in the United States but also in the global stage.

We are not ignorant of the fact that building a standard and world class film and video production company from the scratch requires huge capital base- essentially for the purchase of world – class and latest film and video production equipment; which is why we have perfect plans for steady flow of cash from our business partners with interest in our line of business.

We can confidently say that we have a robust financial standing and we are ready to take on any challenge that we encounter in the industry.

We will ensure that all our employees are selected from a pool of talented and highly creative people with eyes for good movies in and around Los Angeles – California (with bias from Hollywood) and also from any part of the United States.

We will make sure that we take all the members of our workforce through the required trainings that will position them to meet the expectation of the company and to compete with other players in the United States and throughout the globe.

At Moonlight™ Film and Video Production Company our client’s best interest will always come first, and everything we do will be guided by our values and professional ethics.

We will ensure that we hold ourselves accountable to the highest standards by meeting our client’s needs precisely and completely and of course producing movies and videos that can compete with the best in the world. We will cultivate a working environment that provides a human, sustainable approach to earning a living, and living in our world, for our partners, employees and for our clients.

Moonlight™ Film and Video Production Company is owned majorly by Macqueen Reeves and other partners. Macqueen Reeves is a certified and licensed film producer, he graduated from New York Film Academy and he has well over 15 years hand on experience in the film and video production industry working for leading film and video producing companies in Hollywood prior to starting his own film and video production company.

He will build the business alongside other experienced partners who have successfully carved a niche for themselves in the industry.

3. Our Products and Services

We do not want to leave any stone unturned when it comes to producing the best products and services. So, Moonlight™ Film and Video Production Company is going to offer a variety of services within the scope of the film and video production industry in the United States of America.

Our intention of starting our film and video production business in Inglewood – Los Angele is to make profits from the film and video industry and we will do all that is permitted by the law in the US to achieve our aim and business goals. Our business offering are listed below;

• Action and adventure films
• Comedy films
• Drama films
• Thriller/suspense films
• Musical Videos
• Documentaries
• Other films (Commercials and Advertisement et al)
• Creating a timeline of production for film and video and ensuring that timelines are met
• Seeking financing for film and video productions
• Producing film and video programming
• Publicizing film and video productions
• Distributing film and video (if the company is also involved in all of the above)
• Film and Video Production Merchandize (Sale of Film and Video Production Equipment)
• Film and Video Production Consultancy and Advisory Services

4. Our Mission and Vision Statement

• Our vision is to build a standard and world – class film and video production business that can favorably compete with leaders in the industry.
• Our mission is to build a world class and well equipped film and video production company that will produce standard movies that can be generally accepted in all parts of the world; we want to build a film and video production brand that can work for clients not only in the United States of America and Canada, but in all parts of the world.

Our Business Structure

The success of any business is to a larger extent dependent on the business structure of the organization and the people who occupy the available role. Moonlight™ Film and Video Production Company will build a solid business structure that can support the growth of our film and video production business.

We will ensure that we hire competent hands to help us build the business of our dream. The fact that we want to become one of the leading film and video production brand in the industry in the whole of the United States of America makes it highly necessary for our organization to deliberately build a well – structured business from the onset.

We will work hard to ensure that we only attract people with the right mindset to help us achieve our business goals and objectives in record time. Below is the business structure that we will build Moonlight™ Film and Video Production Company;

• Chief Executive Officer

Entertainment Lawyer/Legal Secretary

Studio Manager

Film Producer

Recording Engineer

Admin and HR Manager

Marketing and Sales Executive

Front Desk Officer

5. Job Roles and Responsibilities

Chief Executive Office:

• Increases management’s effectiveness by recruiting, selecting, orienting, training, coaching, counseling, and disciplining managers; communicating values, strategies, and objectives; assigning accountabilities; planning, monitoring, and appraising job results; developing incentives; developing a climate for offering information and opinions; providing educational opportunities.
• Responsible for providing direction for the business
• Creates, communicates, and implements the organization’s vision, mission, and overall direction – i.e. leading the development and implementation of the overall organization’s strategy.
• Responsible for signing checks and documents on behalf of the company
• Evaluates the success of the organization
• Responsible for drawing up contracts and other legal documents for the company
• Welcomes guests and clients by greeting them in person or on the telephone; answering or directing inquiries.
• Produces information by transcribing, formatting, inputting, editing, retrieving, copying, and transmitting text, data, and graphics; coordinating case preparation.
• Provides historical reference by developing and utilizing filing and retrieval systems; recording meeting discussions; maintaining transcripts; documenting and maintaining evidence.
• Updates job knowledge by participating in educational opportunities; reading professional publications; maintaining personal networks; participating in professional organizations.
• Enhances department and organization reputation by accepting ownership for accomplishing new and different requests; exploring opportunities to add value to job accomplishments.
• Responsible for managing every activities that goes on in the studio
• Responsible for managing the company’s video editing department
• Handle any other responsibility as assigned by the Chief Executive Officer
• Responsible for developing concept and producing movies from start to finish
• Responsible for choosing the right locations to shoot a movie
• Works with the accountant and other stakeholders in the company to draw – up a budget for any movie project
• Responsible for handle any picture and sound related job for the company; helps achieve certain specific sounds or feelings to portray through that matches with the movie (especially for soundtracks).
• Responsible for handling all aspect of video shooting on locations
• Responsible for overseeing the smooth running of HR and administrative tasks for the organization
• Maintains office supplies by checking stocks; placing and expediting orders; evaluating new products.
• Ensures operation of film shooting and studio equipment by completing preventive maintenance requirements; calling for repairs.
• Defines job positions for recruitment and managing interviewing process
• Carries out staff induction for new team members
• Responsible for training, evaluation and assessment of employees
• Responsible for arranging travel, meetings and appointments
• Designs job descriptions with KPI to drive performance management for clients
• Regularly hold meetings with key stakeholders to review the effectiveness of HR Policies, Procedures and Processes
• Facilitates and coordinates strategic sessions.
• Works directly with clients in a non-advising capacity, such as answering questions, scheduling appointments and making sure all training concerns are properly taken care off
• Oversees the smooth running of the daily office activities.
• Once the movie is ready, then the marketing team will go out to market and promote the album
• Identifies, prioritizes, and reaches out to new partners, and business opportunities et al
• Identifies business opportunities; follows up on development leads and contacts; participates in the structuring and financing of projects; assures the completion of music projects.
• Responsible for supervising implementation, advocate for the customer’s needs, and communicate with clients, cinema operators and movie distributors
• Develops, executes and evaluates new plans for expanding increase sales
• Documents all customer contact and information
• Represents the company in strategic meetings
• Helps to increase sales and growth for the company
• Responsible for preparing financial reports, budgets, and financial statements for the organization
• Provides managements with financial analyses, development budgets, and accounting reports; analyzes financial feasibility for the most complex proposed projects; conducts market research to forecast trends and business conditions.
• Responsible for financial forecasting and risks analysis.
• Performs cash management, general ledger accounting, and financial reporting for one or more properties.
• Responsible for developing and managing financial systems and policies
• Responsible for administering payrolls
• Ensures compliance with taxation legislation
• Handles all financial transactions for the company
• Serves as internal auditor for the company

Client Service Executive

• Ensures that all contacts with clients (e-mail, walk-In centre, SMS or phone) provides the client with a personalized customer service experience of the highest level
• Through interaction with clients on the phone, uses every opportunity to build client’s interest in the company’s products and services
• Manages administrative duties assigned by the manager in an effective and timely manner
• Consistently stays abreast of any new information on the company’s products, promotional campaigns etc. to ensure accurate and helpful information is supplied to clients when they make enquiries
• Receives Visitors/clients on behalf of the organization
• Receives parcels/documents for the company
• Handles enquiries via e-mail and phone calls for the organization
• Distribute mails in the organization
• Handles any other duties as assigned my the line manager

6. SWOT Analysis

Moonlight™ Film and Video Production Company engaged the services of a core professional in the area of film and video production consulting and business structuring to assist the organization in building a standard and world – class film and video production company that can favorably compete with other leading film and video production brands in the United States of America.

Part of what the business consultant did was to work with the management of the company in conducting a comprehensive SWOT analysis for Moonlight™ Film and Video Production Company. Here is a summary from the result of the SWOT analysis that was conducted on behalf of Moonlight™ Film and Video Production Company;

Our core strength lies in the power of our team and the latest film and video production equipment that we have. We have a team that can go all the way to give our clients value for their money; a team that can produce world class movies that can favorable compete with movies produced by leaders in the industry.

We are well positioned in the heart of Inglewood, Los Angeles and we know we will attract loads of clients from the first day we open our film and video production company for business.

As a new film and video production company based in Los Angeles – the headquarter of film production in the world, it might take some time for our organization to break into the market and attract some well – established artist and bigger corporations and investors; that is perhaps our major weakness. Another weakness is that we may not have the required cash to pump into the promotion our business the way we would want to.

• Opportunities:

The opportunities in the film and video production industry is massive especially in a place like Los Angeles – California where we have Hollywood, and we are ready to take advantage of any opportunity that comes our way.

We like other brands in the industry, have our own fair share of threats. Hence, technology and the internet which of course is a major tool for the advancement and gains achieved in the film and video production industry can also poses a threat to the industry.

The truth is that with the advancement of technology, it is now easier for individuals to produce home videos and musical videos without the help of professional film and video production companies. So also, just like any other business, one of the major threats that we are likely going to face is economic downturn.

It is a fact that economic downturn affects purchasing / spending power. Another threat that may likely confront us is the arrival of a new film and video production company in same location where our target market exist and who may want to adopt same Business model like us.

7. MARKET ANALYSIS

• Market Trends

Online video is one major trend in the film and video production industry. Recent statistics from Comscore show that on an average day in 2011, over 100 million Americans viewed online video content. This represents growth of 43 percent over the previous year.

Well over 43.5 billion videos were streamed in December 2011 alone; a 44 percent increase over the previous year. This growth shows no signs of dwindling, as people increase the absolute number of videos they watch, in addition to viewing longer form content on leading video sites such as Netflix and Hulu.

Entrepreneurs that are venturing into the film and video production industry are coming in with creativity and good business skills. The fact that it is highly competitive in the industry does not in a way stop some film and video production companies from declaring profits year in year out.

Another known trend in the film and video production industry is that most film and video production companies are trying as much as possible to recreate themselves on a regular basis and also to be on top of their game.

8. Our Target Market

When it comes to film and video production business, there are no exemptions to who you can market your services products to especially finished movies. Your movies can be market to adults, children, teenagers, corporate organization, government and everyone who can afford to purchase a movie et al.

Over and above, our target market as a film and video production company cuts across people of different class and people from all walks of life and corporate organizations. In view of that, we have created strategies that will enable us reach out to various corporate organizations and individual who we know will need our products and services.

We have conducted our market research and survey and we will ensure that our film and video production company attracts the kind of artists and clients we would love to work with. Below is a list of the people and organizations that we have specifically market our services to;

• Advertising Agencies
• Corporate Organizations (Branding and Advertising Agencies et al)
• Teenagers, Adults and Children
• TV stations

Our Competitive Advantage

We are mindful of the fact that there are stiffer competition in the film and video production industry in the United States of America; hence we have been able to hire some of the best business developer to handle our sales and marketing.

Moonlight™ Film and Video Production Company might be a new entrant into the film and video production industry in the United States of America, but our competitive advantage lies in the power of our team and the latest film and video production equipment that we have.

We have a team that can go all the way to give our clients value for their money; a team that can produce world class movies that can favorable compete with movies produced by leaders in the industry.

Lastly, our employees will be well taken care of, and their welfare package will be among the best within our category (startups film and video production companies) in the industry meaning that they will be more than willing to build the business with us and help deliver our set goals and achieve all our aims and objectives.

9. SALES AND MARKETING STRATEGY

• Sources of Income

Moonlight™ Film and Video Production Company is established with the aim of maximizing profits in the film and video production industry and we are going to go all the way to ensure that we do all it takes to attract our target market.

Moonlight™ Film and Video Production Company will generate income by offering the following services and products;

10. Sales Forecast

One thing is certain when it comes to movies and documentaries; they never dies and the demand for good movies and documentaries will continue to grow. This goes to show that any film and video production company that is known to always produce good movies will continue to attract talented artists, corporate organizations and clients and that will sure translate to increase in revenue generation for the business.

We are well positioned to take on the available market in Los Angeles California and beyond and we are quite optimistic that we will meet our set target of generating enough income / profits from the first six month of operations and grow the business and our clientele base beyond Los Angeles – California to other cities in the U.S. and even the global market.

We have been able to critically examine the film and video production market and we have analyzed our chances in the industry and we have been able to come up with the following sales forecast. The sales projection is based on information gathered on the field and some assumptions that are peculiar to startups in Los Angeles – CA.

Below is the sales projection for Moonlight™ Film and Video Production Company, it is based on the location of our business and other factors as it relates to film and video production start – ups in the United States;

• First Year-: $1M
• Second Year-: $1.75M
• Third Year-: $2.5M

N.B : This projection is done based on what is obtainable in the industry and with the assumption that there won’t be any major economic meltdown and there won’t be any major competitor offering same services as we do within same location. Please note that the above projection might be lower and at the same time it might be higher.

• Marketing Strategy and Sales Strategy

Our sales and marketing team will be recruited based on their vast experience in the film and video production industry and they will be trained on a regular basis so as to be well equipped to meet their targets and the overall goal of the organization.

We will also ensure that our excellent movies and videos speaks for us in the market place; we want to build a standard and well equipped film and video production company that will leverage on word of mouth advertisement from satisfied clients/artists.

Our business goal is to build Moonlight™ Film and Video Production Company business to become one of the leading choice in the whole of Los Angeles – California which is why we have mapped out strategy that will help us take advantage of the available market and grow to become a major force to reckon with not only in the U.S but in the world stage as well.

Moonlight™ Film and Video Production Company is set to make use of the following marketing and sales strategies to attract clients;

• Introduce our business by sending introductory letters alongside our brochure to organizations and key stake holders in the film and video industry (movie distributors and cinema operators) in Los Angeles and other parts of the U.S.
• Advertise our business in relevant entertainment magazines, newspapers, TV stations, and radio station.
• List our business on yellow pages ads (local directories)
• Attend relevant international and local film festivals, expos, seminars, and concerts et al
• Create different packages for different category of clients in order to work with their budgets and still produce top notch videos or movies for them
• Leverage on the internet to promote our business
• Engage in direct marketing approach
• Encourage word of mouth marketing from our loyal and satisfied clients

11. Publicity and Advertising Strategy

We are aware that there isn’t any business that despises new clients. This the reason why we have been able to work with brand and publicity specialist to help us map out publicity and advertising strategies that will help us walk our way into the heart of our target market.

We are set to take the film and video production industry by storm which is why we have made provisions for effective publicity and advertisement of our recording studio company. Below are the platforms we intend to leverage on to promote and advertise Moonlight™ Film and Video Production Company;

• Place adverts on both print and electronic media platforms
• Sponsor relevant TV shows and radio programs
• Maximize our official website to promote our business
• Leverage on the internet and social media platforms like; YouTube, Instagram, Facebook ,Twitter, LinkedIn, Badoo, Google+ and other platforms (music online forums) to promote our business.
• Offer Pro Bono services as part of our community social responsibility
• Ensure that our we position our banners and billboards in strategic positions all around Los Angeles – CA
• Brand all our official cars/buses and ensure that our trademark label is boldly printed in all our movies and videos (DVDs) et al

12. Our Pricing Strategy

At Moonlight™ Film and Video Production Company we will keep our fees and prices of videos a little below the average market rate for all of our clients by keeping our overhead low and by collecting payment in advance. In addition, we will also offer special discounted rates to start – ups, nonprofits, cooperatives, and small social enterprises who engage our services to help to produce movies or short videos especially for advert purposes.

• Payment Options

At Moonlight™ Film and Video Production Company, our payment policy will be all inclusive because we are quite aware that different people prefer different payment options as it suits them. Here are the payment options that we will make available to our clients;

• Payment by via bank transfer
• Payment via online bank transfer
• Payment via check
• Payment via bank draft
• Payment via mobile money
• Payment with cash

In view of the above, we have chosen banking platforms that will help us achieve our plans with little or no itches.

13. Startup Expenditure (Budget)

The cost of setting up film and video production business can be quite expensive especially if you are all out to start a standard film and video production company. Aside from the money required to purchase the latest film recording and production equipment, you would also need a huge cash base to be able to attract and pay well established film actors to act in your movies.

Essentially, this is the area we are looking towards spending our start – up capital on;

• The Total Fee for incorporating the Business in Los Angeles, California – $750.
• The budget for Liability insurance, permits and license – $2,500
• The Amount needed to acquire a suitable Office facility with enough space for standard movie production studio in a business district 6 months (Re – Construction of the facility inclusive) – $200,000.
• The Cost for equipping the office (computers, printers, fax machines, furniture, telephones, filing cabins, safety gadgets and electronics et al) – $2,000
• The cost for equipping the movie production studio with the required video gears – $150,000
• The Cost of Launching our official Website – $600
• Budget for paying at least 5 employees for 3 months and utility bills – $100,000
• Budget for paying actors and taking care of logistics in movie locations – $500,000
• Additional Expenditure (Business cards, Signage, Adverts and Promotions et al) – $2,500
• Miscellaneous – $20,000

Going by the report from the research and feasibility studies, we will need about $1 million to set up a medium scale but standard film and video production company in the United States of America. Here are some of the key film and video production equipment and gear that we would need to set up our film and video production company;

• Standard Video Cameras
• Camera lights/Three-Point Lighting Kit
• Shotgun Mic with boom pole accessories
• Audio (XLR) Cables
• Wireless Microphone
• Lenses: Wide Angle, Clear “Protective” Lens, Polarizer, Zoom Lens, Macros, etc.
• Light Reflector
• DSLR Shoulder Mount Rig
• Video Editing Software and Video Editing Computer (MacBook Pro Laptop / Apple MacBook Pro Laptop)
• External Hard Drive
• Digital video workstation

Generating Funding/Startup Capital for Moonlight™ Film and Video Production Company

Moonlight™ Film and Video Production Company is going to start as a partnership business that will be owned and managed by Macqueen Reeves and his business partners. They are the financial of the business, but may likely welcome other partners later, which is why they have decided to restrict the sourcing of his start – up capital to 3 major sources.

These are the areas we intend generating our start – up capital;

• Generate part of the start – up capital from personal savings
• Source for soft loans from family members and friends
• Apply for loan from my Bank

N.B: We have been able to generate about $500,000 (Personal savings plus funds from business partners) and we are at the final stages of obtaining a loan facility of $500,000 from our bank. All the papers and document has been duly signed and submitted, the loan has been approved and any moment from now our account will be credited.

14. Sustainability and Expansion Strategy

The future of a business lies in the numbers of loyal customers that they have the capacity and competence of the employees, their investment strategy and the business structure. If all of these factors are missing from a business (company), then it won’t be too long before the business close shop.

One of our major goals of starting Moonlight™ Film and Video Production Company is to build a business that will survive off its own cash flow without the need for injecting finance from external sources once the business is officially running.

We know that one of the ways of gaining approval and winning customers over is to ensure that every movie that we produce is a hit back to back and it appeals to the needs of the society we intend selling the movies

Moonlight™ Film and Video Production Company will make sure that the right foundation, structures and processes are put in place to ensure that our staff welfare are well taken of. Our company’s corporate culture is designed to drive our business to greater heights and training and re – training of our workforce is at the top burner.

As a matter of fact, profit-sharing arrangement will be made available to all our management staff and it will be based on their performance for a period of five years or more. We know that if that is put in place, we will be able to successfully hire and retain the best hands we can get in the industry; they will be more committed to help us build the business of our dreams.

Check List/Milestone

• Business Name Availability Check:>Completed
• Business Incorporation: Completed
• Renting of Office Facility: Completed
• Setting Up Of The Recording Studio: In Progress
• Intellectual Property Protection and Trademark: Completed
• Opening of Corporate Bank Accounts various banks in the United States: Completed
• Opening Online Payment Platforms: Completed
• Application and Obtaining Tax Payer’s ID: In Progress
• Application for business license and permit: Completed
• Purchase of All form of Insurance for the Business: Completed
• Conducting Feasibility Studies: Completed
• Generating part of the start – up capital from the founder: Completed
• Applications for Loan from our Bankers: In Progress
• Writing of Business Plan: Completed
• Drafting of Employee’s Handbook: Completed
• Drafting of Contract Documents: In Progress
• Design of The Company’s Logo: Completed
• Graphic Designs and Printing of Packaging Marketing / Promotional Materials: Completed
• Recruitment of employees: In Progress
• Purchase of the Needed studio / musical gadgets, furniture, office equipment, electronic appliances and facility facelift: In progress
• Creating Official Website for the Company: In Progress
• Creating Awareness for the business (Business PR): In Progress
• Health and Safety and Fire Safety Arrangement: In Progress
• Establishing business relationship with key players in the industry: In Progress

WE’VE LAUNCHED A NEW SCREENWRITING PROGRAM | VIEW PROGRAM

How to Start a Film Production Company

A film production company is responsible for nearly every aspect of the movie-making process. Once a movie has been given the green light, the production house goes to work. For smaller companies – or even individuals – getting the most out of a shoestring budget is paramount.

If you want to start a film production company, get ready to hustle. You’ll need to find backers, crews, equipment, and more to see it all come together. Many production companies are born from individuals making their own movies, finding success, and growing from there.

Until you get the buy-in from major studios, here are a few things to take into account. Even if you strike it big, these are the facets all film production companies must be able to take care of:

Securing Equipment

Distribution.

The major part of any production house is the ability to raise money that’s needed to make a film. If you don’t procure the necessary funds you won’t have the capital to hire the people you want, rent the equipment you need, or distribute the movie, in which case there’s no film to speak of, right? No moolah, no movie.

In the majority of cases, investors are sought to finance the movie. This could be an investment from the studio, the use of an investment firm, or money from individuals that have the wealth to invest. For smaller films, the money may be coming from the filmmaker themselves. In these cases, however, a production house probably won’t be used.

These investors don’t give from their hearts, however. There has to be some kind of return on investment, a form of collateral, or a history of success to open the purse strings. The success of Clerks allowed Kevin Smith to establish View Askew Productions and secure funding for future films such as Chasing Amy and Dogma .

That works the other way, too. Smith used his relationship with Harvey Weinstein to great effect, making several movies together. However, after the failures of Mallrats , Cop Out , and Zack and Miri Make a Porno , the relationship frayed and Weinstein opted out of Red State , another critical flop.

As they say, you’re only as good as your last film. You want to be a good risk, not a bad one.

A production company is only working when they are producing a movie. Makes sense, right? What doesn’t make sense is buying a bunch of equipment that may only be used once a decade. So companies rent what they need when they need it.

It’s this kind of business plan that will help when it comes to budgeting for a film. As a business entity, you’ll need to keep track of where the money goes, both for yourself and potential investors. And you won’t be stuck owning equipment you may never need again.

Decisions made during the hiring process can make or break a movie. Would the Marvel Universe be the same if Tom Cruise played Iron Man instead of Robert Downey, Jr.? It’s hard to imagine anyone else playing Tony Stark. But the hiring decisions aren’t limited to the people you see on the big screen.

Depending on the size of the movie, production companies may be limited to using industry guild labor, which counts the best directors, technical talent, and behind the scenes workers. Larger movies are required to use these members due to agreements with major movie studios. Smaller movies can usually cast whoever they wish to make the film.

A major issue with budgeting comes when productions don’t stay on schedule. Equipment rentals cost more, permitting locations becomes more expensive, and labor – the largest outlay of money – could cripple a production. You certainly can’t rush genius, but for every Jaws ($3.5 million budget, $9 million spent, $470 million made) there are many more Heaven’s Gates ($11 million budgeted, $44 million spent, and $3.5 million made).

As a production company owner, you’ll need to run a tight ship. Establishing your company as one that stays on deadline and on a budget will go a long way to solidifying your place in Hollywood. This is especially true if your working with 10’s of thousands of dollars instead of millions.

When you start a production company, getting your movie in front of audiences is a paramount concern. Securing a big-name star or someone with a notable following can make your movie more attractive to movie houses. Otherwise, you will need to hit the film festival circuit to get the film seen. This is where many indie films find distribution deals.

Cannes, Sundance, and a host of other film festivals have been known to launch a career or two. Made for $60,000, Super Size Me won the top documentary prize at Sundance and went on to earn more than $22 million. Imagine trying to sell a movie based on a guy eating fast food every day without that kind of cache.

In many cases, marketing and distribution go hand-in-hand. A good marketing campaign will create buzz for audiences and critics alike. In turn, theaters will want to take advantage of the hype to get bottoms in their seats. Of course, marketing budgets of $100 million are reserved for only the most surefire hits.

Which seems counter-intuitive, right? Just how much marketing does Endgame need, anyway? For smaller films without distribution deals, getting trailers attached to larger movies, advertising in major publications, or appearing during the Super Bowl is a daunting task. The key is to diversify, use the internet, social media, and even print media to get the word out.

That’s a lot to consider when you run a production company, and we didn’t even cover normal business costs like office space, paying employees, or even making sure the printer has paper. It’s a thrill to see something that you had a hand in delighting movie audiences around the nation.

But it can be a nerve-wracking process on multiple fronts. For that reason, starting a production company most definitely is not for the fainthearted. Sounds like you? Apply here!

The Top Student Success Stories of 2018.

Film Connection student Gabe Gottstein ADs Pro Shoots and more!

Roundtable with Film Connection mentors Daniel Lir and Bayou Bennett of Dream Team Directors.

Learn the skills you need to take your idea from paper to the big screen.

Real world film education by filmmakers for filmmakers, optimized for today!

GET STARTED

We Value Your Privacy

Privacy overview.

Theater Business Plans

Movie theater business plan.

Falls River Theatre is a start-up movie house in a remodeled historic building located in downtown Falls River, Wisconsin.

Movie Theater Restaurant Business Plan

Second Run Pizza renovated an old theater, creating a venue where patrons can enjoy a pizza dinner while viewing second run movies.

Music Theater Business Plan

Market Plaza Showplace is a start-up company that restores an old theater as a new music performance venue.

It’s time for your curtain call! Bring your drama business dreams to life and prepare to run your own theater with our theater sample business plans.

The quickest way to turn a business idea into a business plan

Fill-in-the-blanks and automatic financials make it easy.

No thanks, I prefer writing 40-page documents.

Discover the world’s #1 plan building software

• Development

How to Create a Production Company Business Plan [FREE Template]

H ighly successful video companies start with a strong production company business plan. Whether your company has been around for a while, or you’re a freelancer ready to take your services to the next level, this post will provide you with actionable strategies for success to compete more effectively right now.

It all beings with formulating the business plan that will get you where you want to go. If you don’t have a business plan, don’t worry. We provide a  free business plan template below and will walk you through it. 

Step by step.

• Production Company Business Plan
• The Executive Summary
• Perform a Video Company Self Assessment
• How to Get Started
• Financing a Video Production Company
• Marketing Plan
• Day to Day Operations

Freebie: Business Plan Template for Video Production

Download your FREE printable business plan template for your video production. Just enter your email address and we'll instantly send it to you!

business plan template

1. what is a production company business plan.

Essentially it's a tool for raising funds, creating a roadmap, or altering course and plotting out the next steps.

One purpose of any business plan to so convey to investors, or a bank, why they should put money into this business.

Think of creating a business plan you could bring to them

What does that mean?

It means you need this business plan for a production company to prove that you will make money. To prove it to you, but also to any investors.

After all, nobody invests to lose money. Or break even. So with that in mind, let's forge ahead into the actual writing of the business plan.

how to make a business plan

2. what is an executive summary.

Every business plan starts from the top down, with an executive summary.

What is that, exactly?

An executive summary is a short part of a larger proposal or report that summarizes the main points so the reader can become quickly educated on the whole document without having to read it all.

So it’s a detailed overview.

Of course, "executive summary" has a nice ring to it...

Your job here is to lay out the big picture of your plan. Some questions to ask yourself: Why do you want this business in the first place?

Similarly, what inspired you to start it? What's going to make it work?

Next, start to answer the questions your investors might have. Try getting into their head-space.

"Why would YOU invest in this business?"

You might want to write about the competition. The targeted demographic. Be specific here.

What need does your business fill? Which kinds of customers and clients are you targeting?

Think about your target market

Furthermore, what else sets you and your business apart?

Especially relevant is using concrete examples and not only ideas. Can you cite previous work you've done?  

This brings us to...

Your production companies competition

What does the rest of the field looks like. Your investor will want to know if they don't already.

What sets this company and this production company business plan apart from others?

Knowing the entire field of competitors you have is a good idea, even if it's a very long list.

Your production company business plan must factor in what else is being offered. That way you can adjust, and target a more specific niche.

Or, you can figure out what you can do better.

For example: what can you identify in your competitor's list of services that you know you can nail?

This is what your video company plan needs to convey.

Finally, remember to think of it from the investor's standpoint. How is this an opportunity for them?

how to create a business plan

3. why a video company self-assessment.

This step is easy to do, but hard to do well.

Can you take a good long look at your video production studio? With the intent to circle problems? Areas that need improvement?

The second part of this step might be easier. Find the areas where your video production studio can really shine.

In contrast, you don't want to elaborate on weaknesses in your video production company business plan. Rather, you want to identify them so you can find ways to address them.

You need to have answers to the questions these flaws might bring to the mind of your investors.

  You are not required to sing “Man in the Mirror” 

Then go beyond looking in the mirror.

Look back at the field before you.

This is a business plan for a production company. What opportunities exist for that?

Most of all, try and tailor this production house business plan to specific needs.

Here are a few methods of company self-analysis:

This is a way to identify changes in your industry, to target potential growth opportunities. The acronym stands for:

P olitical Factors

E conomic Factors

S ocial Factors

T echnological Factors

 P roduction company business plan would include a PEST

We've mentioned elements of SWOT:

W eaknesses

O pportunities

The one to focus in on here is threats. Don't assume everything will work out for the plan just the why you'd like it to.

Because it won't. Investors will know that. You should not only know it, you should expect it.

Most important of all: prove that you're prepared for whatever may happen.

Here's a cool way to approach your SWOT analysis. Try applying your strengths to your opportunities and see what kind of leverage you can create.

Then theoretically expose your weaknesses to your threats. Are you in trouble? Do you need to address something to better protect your company?

Think of this as planning for a battle. Therefore, you don't want to ignore cracks in the wall if your enemy is bringing a battering ram.

Business plan can benefit from SWOT

Strategy, structure, systems, style, shared values, staff, and skills.  The 7S model  was developed by business consultants  Robert H. Waterman Jr. and Tom Peters . It's also known as the McKinsey 7S framework.

The idea here is that your business needs these elements to be aligned and "mutually reinforcing". Let's go over each "S".

Strategy: How does this business plan to gain an advantage.

Structure: How do you divide the various operations of the company.

Systems: Procedure for measurement, reward and resource allocation.

Skills: the companies core and distinctive capabilities.

Staff: Human resources.

Style: Behavior patterns of the key groups like managers.

Shared values are in the middle of them all on the diagram. It's somewhat self-explanatory.

In theory, using these methods of self-analysis will help you a great deal. Due to them you'll know, and decide, all sorts of things about your production company.

The 7 S model of analysis

Start putting these ideas onto paper now! If you haven’t already…

Gentlemen, start your engines

4. how to get started.

A business plan for a production company must lay out how you will get started. This is also referred to as a "roll out plan".

How you engineer your beginning is critical to your cash flow. What do you need to get started?

And can you start at a sustainable level?

Will you open a physical office space right off the bat?

Overhead is a major cost. If this is more of a production house business plan then you’ll want to factor that in.

Do you have existing clients?

Equipment or gear already in place?

A video production business plan suggests that your focus will be on video production. Things like equipment will be critical.

In addition to considering this an entertainment production company business plan you may also want to focus on creative development.

How you want to focus effects how you want to phrase things. And it matters almost immediately.

START FEES YOU CAN AVOID

It's a good idea to propose that you start small.

There are two reasons for this.

The first is that you will scare away investors if you ask for too much up front, almost without fail they can tell if you are asking for more than it seems like you need.

It also throws into question how serious you are about sustaining success.

Which leads to the second reason.

It'll be much harder for you to sustain success if you ask for big upfront funding that you aren't sure you can earn back plus profit.

Let's say because you know of a few jobs you'll have early on, that you ask for less up front.

You'll be able to get rolling right away, earning back the initial investments and then some.

Above all you want to start off with easy wins.

Or as close to easy wins as you can get when launching or re-launching a video production business plan.

Seems like it would somewhat obvious not to ask for more than you can earn back...

Rather, it's a mistake people make all the time.

Speaking of which...

do have the capital?

5. financing a company.

Any business needs capital. As a result, you need a section where you lay out the cash flow for the production house business plan.

What kind of money do you expect to have coming in, and how much do you expect to be spending?

Make the budget, while also estimating how you'll be earning.

If you can't demonstrate this, then you need to go back to the drawing board.

Just pose like this and you’ll reassure any investor

You will want to get involved with an accountant at some point soon.

But remember, this is a business plan for a production company. So you may have a lot of costs coming at you early just to get started.

What is a marketing plan?

Your video production business plan is almost complete. Another section worth including would be one on marketing.

Here is a good additional resource on small business accounting .

You want to prove that business will be coming in, and not assume it will on faith alone.

Building a strong portfolio is a must. Consider again what niche you may be able to serve best. Find a solid "bread and butter" to start with.

Remember, good businesses expand when they need to. They don't bite off more than they can chew right out of the gate.

INVEST IN A GOOD WEBSITE

Do some research on how you’ll be building the best website for your product.

Get your production company a few social media accounts, and start trying to create a presence there. You'll need to find many ways to attract clients, and show your work.

Do some additional research on how to market a production company.

All this needs to find its way into the marketing section of your production company business plan.

what's your daily workflow?

7. day to day operations.

The day to day operations are a critical part of the plan. Have you visualized what the daily workflow will be?

Now is the time to do that. Who is going to be on your team, and how will it grow and change over time?

Determine what tasks will take priority each day, and how to best utilize your resources and finances.

This will be a key step in determining if your production company business plan is sustainable.

Ask yourself a few of the following questions:

How much time per day will you spend building your client base? What elements of each job will you tackle in-house? Which tasks might you outsource?

What equipment and gear do you own?

When will it need to be replaced and/or upgraded?

Are you going to hire anyone to start? Will they be full-time employees?

Will you hire independent contractors per project? How many, roughly?

As mentioned in the finance section, you need to know how you'll plan your reporting for taxes and your bookkeeping process.

These questions will help you start to determine what each "day at the office" will look like.

The clearer a picture you can paint here, the better.

Write a Business Plan

Get as specific as possible in each section of your entertainment company business plan. The more you know... right?

Now, let's get a little more advanced. In our next post we'll dive into writing a 4 part business plan. 

Up Next: Write a 4-Part Business Plan →

Project management for video creatives. tasks, file sharing, calendars and more..

Manage video production timelines, tasks, storyboards, shot lists, breakdowns, call sheets. Made for video creatives, new media and film.

Learn More ➜

1.1 CHAPTER TITLE HERE...

Short, actionable h3 phrase....

Marshmallow pie sweet roll gummies candy icing. I love candy canes soufflé I love jelly beans biscuit. Marshmallow pie sweet roll gummies candy icing. 

• Pricing & Plans
• Featured On
• StudioBinder Partners
• Ultimate Guide to Call Sheets
• How to Break Down a Script (with FREE Script Breakdown Sheet)
• The Only Shot List Template You Need — with Free Download
• Managing Your Film Budget Cashflow & PO Log (Free Template)
• A Better Film Crew List Template Booking Sheet
• Best Storyboard Softwares (with free Storyboard Templates)
• Movie Magic Scheduling
• Gorilla Software
• Storyboard That

A visual medium requires visual methods. Master the art of visual storytelling with our FREE video series on directing and filmmaking techniques.

We’re in a golden age of TV writing and development. More and more people are flocking to the small screen to find daily entertainment. So how can you break put from the pack and get your idea onto the small screen? We’re here to help.

• Making It: From Pre-Production to Screen
• What is a Biopic — Definition & Best Examples Explained
• How Many Rocky Movies Are There — All Rocky Movies in Order
• Storyboard Ideas, Examples, and Techniques Explained
• What is a Femme Fatale — Definition, Characteristics, Examples
• Screenplay Example for Formatting, Genres & PDF Downloads
• 1.2K Facebook
• 44 Pinterest
• 20 LinkedIn

Need a consultation? Call now:

Talk to our experts:

• Business Plan for Investors
• Bank/SBA Business Plan
• Operational/Strategic Planning
• E1 Treaty Trader Visa
• E2 Treaty Investor Visa
• Innovator Founder Visa
• UK Start-Up Visa
• UK Expansion Worker Visa
• Manitoba MPNP Visa
• Start-Up Visa
• Nova Scotia NSNP Visa
• British Columbia BC PNP Visa
• Self-Employed Visa
• OINP Entrepreneur Stream
• LMIA Owner Operator
• ICT Work Permit
• LMIA Mobility Program – C11 Entrepreneur
• USMCA (ex-NAFTA)
• Franchise Business Planning 
• Landlord Business Plan 
• Nonprofit Start-Up Business Plan 
• USDA Business Plan
• Online Boutique
• Mobile Application
• Food Delivery
• Real Estate
• Business Continuity Plan
• Buy Side Due Diligence Services
• ICO whitepaper
• ICO consulting services
• Confidential Information Memorandum
• Private Placement Memorandum
• Feasibility study
• Fractional CFO
• How it works
• Business Plan Templates

Movie Theater Business Plan Sample

Published Mar.20, 2019

Updated Sep.14, 2024

By: Jakub Babkins

Average rating 5 / 5. Vote count: 2

No votes so far! Be the first to rate this post.

Table of Content

Do you want to start movie theater business plan

A movie theater is a business in which you make contact with the film distributors, buy their movies and play them on a big screen for your audience in a comfortable and enjoyable environment. This business requires continuous serious work, money and time investment, resulting in the production of huge profit.

If you are looking for a complete guide on how to open a movie theater , thoroughly read this sample business plan for movie theater including financial and marketing analysis, written for a movie theater startup named, ‘The Arena’.

Executive Summary

2.1 the business.

The Arena will be a registered and insured movie theater company located in El Paso, Texas. Business will be owned by a husband and wife, Zac Martin and Enna Martin. All type of movies such as second run and first released will be played in The Arena.

2.2 Management

To open a movie theater and run it successfully, one should either have strong management skills or should hire an efficient manager. From the distribution of tickets to the proper seating of the audience in the hall, it’s all about management.

Zac will be responsible for upgrading the building, managing finances of the business, and supervision. However, Enna will manage stuff like the selection of the movie, hiring staff, theater marketing, and snacks. For managing day to day tasks efficiently they have decided to hire a general manager to help them run the business.

2.3 Customers

After a busy and a hectic day, everyone resorts to some entertainment place to spend their evenings. So every young and adult, child and old living near to our theater will fall into the category of our customers.

2.4 Target of the Company

The company aims at balancing the startup costs by earned profits within just three months of the launch and generate huge profits afterward by providing the best film, best food, and best drink all in one seat.

Company Summary

3.1 company owner.

Zac and Enna, a husband and wife who were previously acting as managers in a multiplex company, will be the owners of The Arena. They both are graduates in management regarding domains from the same university and are skilled in their respective domains.

3.2 Why the Business is being started

After a three-year valuable experience in management, Zac and Enna have decided to start a movie theater of their own to serve the audience in the best way they have explored and of course to avail the opportunity of running their own company.

3.3 How the Business will be started

Zac and Enna will work in coordination with each other, however, they have decided to have a clear work division to avoid any sort of mismanagement. The Arena will be a movie theater comprising of four movie halls with a capacity of at least 250 people in each hall.

A building which previously was a marriage hall, will be restored to its fullest glory and upgraded to fulfill a theater requirement. And lastly, highly customer care-oriented staff will be hired for undertaking day to day chores.

The detailed start-up requirements as included in The Arena’s movie theater business plan  is given here:

To provide the services in a way you actually want to provide, you need to map their implementation even before researching on how to run a movie theater busines . Knowing the importance of preplanning Zac and Enna have enlisted their services with a little detail in their business plan for a movie theater  as given here:

• First & Second Run Movie Presentation: During the early stages of the startup, The Arena will present already released movies to its customers.
• Animated Movie Presentations: Animated movies will be played according to the demands of the public.
• Sales of Snacks & Drinks: To provide its customers with a great experience, The Arena will serve them with instant and delicious snacks and drinks.

Marketing Analysis of Movie Theatre Business

Excellent work.

excellent work, competent advice. Alex is very friendly, great communication. 100% I recommend CGS capital. Thank you so much for your hard work!

After you have decided to run a movie theater business , the next step is to do its accurate and detailed marketing analysis. Before opening a movie theater , you have to make sure whether you are selecting the convenient location or not. Or whether you have to opt for a drive in theater business plan  or a movie theater business plan for an auditorium. In either case, this sample on starting a movie theater business plan will be a great help for you.

5.1 Market Trends

Despite a large competition, movie theater business has been growing since the past few years by the annual growth rate of 3.1 percent and is expected to follow even a faster growth rate in the future. According to IBISWorld, movie theaters have generated a revenue of $18 billion in 2018, employing more than 155,400 people in the United States.

The business has its scope around the year in any climate or in any economic conditions, indicating that you won’t be at loss provided that you plan it successfully.

5.2 Marketing Segmentation

Before thinking about how to start your own movie theater business , you must be very clear about who will be your audience. Zac and Enna had divided their customers into three groups to focus on the demands of each group separately as given here:

Business plan for investors

5.2.1 Families: As The Arena will mainly be a second run released movie theater so its main target group will be the families who want a light entertainment within a walking distance or a short drive from their homes. People who seek family-oriented entertainment experience usually don’t care about watching a movie on the very first run. They just want quality and inexpensive entertainment.

5.2.2 Young & Adults: The second category which we look up as our customers will be the young and adults who want entertainment for a slight break in their daily routines, or as a good chance to enjoy with their friends and mates.

5.2.3 Children & Teens: The children and teens who want to have experience of watching movies in the cinemas like the other members of their families will also be our target customers. We’ll play our collection of animated and children movies for them.

The detailed market analysis of our potential customers is given in the following table:

5.3 Product Pricing

In the initial stages, we’ll price our tickets and snacks a little less than our competitors to get introduced to a wide audience. However, the prices may vary depending on the seat allocated and the price of movies.

After identifying the market trends, the market demand, and the potential customers of the startup, the next thing to cater in movie theater business plan  is to develop a strategy to attract those customers toward us.

6.1 Competitive Analysis

In all out research about how to start a cinema theater , Zac and Enna have thoroughly analyzed the market and the competitive edges they have to come up with, also given here for your help if you are formulating your home theater business plan .

Our biggest competitive advantage is that we are starting our business in an excellent locality in El Paso, as rest of the cinemas are very far from us, and several people would prefer to have a good entertainment near to their homes and offices. We’ll have excellent management, comforting environment, and good quality snacks to serve our customers.

Lastly, we have come up with a competitive edge which most of the others in the same business lacks. We will develop a website for our theater not for just looking at the schedule of movies but also for buying tickets and making reservations through online payment. We will make a poll every week, in which people could vote for the movie they want to see, the movie with the largest votes will be shown on every Sunday.

6.2 Sales Strategy

Sales strategy is the plan of how you will introduce your new business to your target customers. Considering the importance of advertisements, Zac and Enna had also included advertisements’ costs in their movie theater startup costs .

To advertise ourselves:

• We will sell discounted tickets for the first few months of our launch.
• We will offer a 20% discount on the purchase of snacks and drinks for the first three months.
• We will offer a free ticket to our customers after the purchase of six tickets in a month.

6.3 Sales Monthly

6.4 Sales Yearly

6.5 Sales Forecast

Considering our competitive advantages, our lower rates, and the quality of our services, our sales pattern is expected to increase with years. Our sales forecast on a yearly basis are summarized in the column charts.

The detailed information about sales forecast, total unit sales, total sales is given in the following table:

Personnel plan

In your movie theater business plan selection, distribution of tickets, proper seating arrangements and selling of delicious snacks have great importance. What’s more important is the dedicated and customer care oriented staff which will ensure the smooth running of your business for you.

7.1 Company Staff

Zac and Enna have decided to initially hire the following people for the startup:

• 2 Accountants to maintain financial records
• 2 Sales Executives responsible for marketing and discovering new ventures
• 4 Cleaners for cleaning the facility
• 4 Assistants for operating the facility and regulating day to day operations
• 1 Inventory Manager to manage the inventory needed for events
• 1 Front Desk Officer to act as a receptionist
• 2 Security Officers

To ensure the best quality service, all employees will be selected through vigorous testing and will be trained for a month before starting their jobs.

7.2 Average Salary of Employees

The following table shows the forecasted data about employees and their salaries for the next three years.

Financial Plan

After you have decided each and everything about your business, the last step is to estimate start up cost for a movie theater and make a detailed financial plan. Your financial plan should depict how much does it cost to open a movie theater, what are your investment group for business plan , how you will be able to balance your investments with the earned profits and much more.

The detailed financial plan for The Arena is given here for a rough estimate.

8.1 Important Assumptions

8.2 brake-even analysis.

8.3 Projected Profit and Loss

8.3.1 profit monthly.

8.3.2 Profit Yearly

8.3.3 Gross Margin Monthly

8.3.4 Gross Margin Yearly

8.4 Projected Cash Flow

8.5 Projected Balance Sheet

8.6 business ratios.

Download Movie Theater Business Plan Sample in pdf

OGScapital also specializes in writing business plans such as modern campground business plan , aerial tourism business plan , internet radio business plan , business plan for music festival events , starting a resort business plan , trampoline park business plan and many other business plans.

OGSCapital’s team has assisted thousands of entrepreneurs with top-rated document, consultancy and analysis. They’ve helped thousands of SME owners secure more than $1.5 billion in funding, and they can do the same for you.

Any questions? Get in Touch!

We have been mentioned in the press:

Leave a Reply Cancel reply

Your email address will not be published. Required fields are marked *

Save my name, email, and website in this browser for the next time I comment.

Search the site:

• Free Course

#1 Film Business Plan Template

• Movie Investor Package
• Film Business Plan Template

Our Feature Film Business Plan template has been evolving for over 20 years and successfully used by hundreds of filmmakers around the world to raise their film financing. We have consistently worked with filmmakers and investors and updated our template after every film investor interaction to add all the best practices we come across. After every meeting, we adjust our Film Business Plan based directly on film investor feedback. Our Film Plan allows you to present your film business case using only the VERY BEST of the best information accumulated by film investors, filmmakers and industry trades, and all their years in the film industry.

Our Film Business Plan Template is professionally formatted and includes all the key business plan sections, with dozens of real-world examples in each. Our business plan was created by film investors and top industry producers, with the specific goal of helping filmmakers find film investors and secure funding. The movie business plan template is fully customizable to suit most any indie film project.

• Professional Presentation - The template is key to finding and attracting financing, as it walks you through the nuts and bolts of your project so you present the investment opportunity in the best light possible, without compromising your creativity.
• Business Plan Outline - Includes all key sections of a professional Business Plan, including Company, Project, Industry, Marketing, Distribution, Investment and Financial Opportunity.
• Real World Examples - Examples from other successful business plans are included in every key section of the film business plan template.
• Return on Investment (ROI) - make your compelling case for why a potential investor should invest in your film
• Streaming & Acquisition Deals - we constantly scour the industry's leading resources for release patterns, streaming deals, festival acquisitions and track all the information we can find.

This easy-to-use Film Business Plan Template is included all of our Film Financing Packages and Bundles , along with our Film Proposals and Financing Manual, Film Projections Templates, Indie Film Pitch Deck, Latest Industry Statistics and much more. All of our products are available for immediate download and come with a 60-day full 100% MONEY BACK GUARANTEE!

NEW! Documentary Business Plan & Documentary Pitch Deck

FilmProposals is thrilled to offer help to documentary producers looking for investors, by enhancing our Film Fundraising toolkits to address the specific needs of documentarians. The highlight is a unique Documentary Business Plan Template included in all of our Film Financing Toolkits and Bundles . Much of the Documentary Business Plan is just like that of our narrative Film Business Plan Template, however, we've also done some major custom work to specifically highlight why documentaries are a great investment and how to best showcase your documentary to investors:

• Documentary Business Plan Template - this new template is completely redone to focus only on documentary films. Recent successes, emerging documentary trends, streaming and studio deals, distribution patterns, audience statistics, revenue generated for sample films and much more. When did Docs become profitable and start selling for $5M or $10M at festivals? We lay it all out for you...
• Documentary Pitch Deck - while our pitch deck template can be used for any type of film, you will use your business plan research to ensure the deck showcases your documentary as a worthy investment opportunity
• Financial Projections/ Comparable Films - our custom database and custom financial projections flow seamlessly for both documentaries and narrative films

The new Documentary Business Plan Template is included in ALL of our Film Financing Toolkits and Bundles , so you can purchase any of them and be well on your way to funding any part of your documentary with private investments.

Film Business Plan Template Screenshots

The film plan template is consistently updated (including 2024). Screenshots may be dated, but our Film Business Plan template is not.

Feature Film Business Plan Template

The film business plan template is a step-by-step guide so you understand your film as a business proposition to film investors. We walk you through the nuts and bolts of your project, and the business side of the film industry, so you present the investment opportunity in the best light possible, without compromising your creativity. We have done all the heavy lifting and all you need is to focus on your film, target audience and marketing/distribution plan.

Film Business Plan Sections

Examples from other successful business plans are included in every key section of the film business plan template.

Executive Summary

You write this section last. It is the one page overview of everything that follows. Just wait until you see your plan all put together and you get to read through how good your investment opportunity sounds out loud, with proven industry statistics, real world examples and well-crafted language. This is always the highlight for every filmmaker - when they get to say, "Wow! I would totally invest in this film and here's why..."

The Company

This is where you discuss the type of company you've set up and why, highlight all the successes of your management team and producers, describe what you're all about and highlight the competitive advantages your team has over any others.

The Project

This is where you get to tell your story, describe your project, use your log-line, compare briefly to other films, development highlights to date, talent attached and more.

The Industry

This is where your business plan gets good! Filmproposals has fine-tuned this section with dozens of known film investors. We highlight all the latest industry trends and awards using references to elite sources, describe how the film industry works, use the latest box office, festival, streaming info and other film industry statistics and describe the overview of the movie industry simply and clearly. This section is updated multiple times per year so it always has the most current information available.

Marketing Plan

Here is where you want to discuss your specific target markets and audience: who are they, how many, their demographics, how you will target them, what are their past habits, etc. We provide a few examples, but leave you plenty of room to get creative with your marketing strategy. Read More: Film Marketing Plan & Distribution Plan Expert Advice

The Investment Opportunity

Ahhh...this is where we really shine! First, we put all the mandatory disclaimers (film investment is inherently risky....) and then we talk about all the ways you have mitigated these risks! You add on exactly how your investment opportunity is structured (Distribution Waterfall, Recoupment Schedule options are included in our Financing Manual) and how you plan to pay your investors back. You then use all the included full explanations and detailed notes and charts for every line item, to explain how you arrived at all your calculations.

Distribution Plan

Here we emphasize how crucial the distribution strategy is to any type of film. We walk through film festivals, theatrical release, digital release (streaming and VOD), TV, other ancillary markets and why independent films have more opportunities and advantages than ever before. You just pick and choose which sections are right for your project and customize them based on your distribution strategy

Confidentiality Notice

Basic legal info to protect you, your project and any potential investors.

You then add on any other relevant documentation, such as your budget (template included in our Film Financing Packages), official agreements, letters of intent and more. Not ready to buy the full template? Try our How to Write a Film Business Plan Free Course.

As it turned out, the business plan WAS the hardest thing I've ever done, but with the tools in the package, it made it much less stressful and the more I got into it, I thought to myself - YES!!! - thank god someone knows what they're doing...

Melissa, I was extremely hesitant in purchasing even your lowest priced package. It all sounded to good to be true. I spent 2 months last year writing a business plan from scratch for a different medium. So I just couldn't imagine getting anything worth while for the prices you were offering. But I have an investor that requested a detailed plan with financial projections within 2 weeks, so I pulled the trigger on your Gold + Financials Filmmaker Bundle .

It was the best money I've ever spent! Can't even begin to tell you what a difference it makes. So concise and on point. Makes putting the plan together so fluid and easy. Not having to worry about what to cover, only how to best state it for my film project. Amazing. Thank you so much. Worth every dollar! - Michael

How a Script Turns Into Film Financing

A Business Plan is a tool that helps you turn your film ideas or scripts into an investment opportunity. Saying “I have a script about XYZ and need $100 to make my film” is exactly like saying “I made this pasta dish and need $100 to open my restaurant”

Being a great chef and being a great restaurant manager are two entirely different skillsets. Can one person be both? Of course. Can you have a successful restaurant without both? No. Would you give someone money to open a restaurant because they made you a great dinner? (We hope not!)

A great chef alone is not enough to get investors. You must have a plan for how you are going build, run and maintain the restaurant. Physical build, marketing, branding, ordering, making menus, publicity, systems, hiring staff and on and on. These are the things that will cost money, and hence they are the investment.

A script is not an investment vehicle. A script may attach top level talent, but film investors don't look for scripts - they look for investment opportunities that will provide them a potential profit on the money they invest (ROI - return on investment). A completed script does not require any money. If you want to sell your script and be done, option it to a studio. If you are looking for film financing, because you want to make your own film, then you want to focus on your business, which is film production.

If any of these sound like you, now is the time to put together your Film Business Plan:

• I have a great script and am looking for film investors
• Where do I find film investors?
• You are searching online for "film investor database" or "film investors seeking scripts" or "investors for filmmakers," or worse, posting on social media for the same

The FASTEST Way to Write Your Film Business Plan

We've been helping filmmakers raise their film financing for over 20 years. One way we do this is by providing a variety of ways for filmmakers to write their Film Business Plans. The different ways have a wide range in terms of budget, time and level of expertise backing. By working directly with filmmakers, we've learned some love the business and money side of the industry, and others, not so much. This is why we've crafted different approaches based on a time/value/skillset formula to suit every type of filmmaker.

Fastest Business Plan With The Most Industry Expertise

If you want to impress your investors in the most professional way, our Platinum Plus Financing Package is for you. You'll be bringing in the combined expertise of Nash Info Services (the movie data gurus behind the-numbers.com) and FilmProposals, as well as entertainment attorneys and prior successful filmmakers. You will also have your plan done in less than two weeks. NIS will be running your 20 Comparable Films (much more impressive than 10 films, since you get to choose from 20,000+ films), while FilmProposals has done all the heavy lifting in our Film Business Plan Template - the industry (including the latest streaming & festival deals, award winners and industry stats), the market, and the financial (how the film business works and how a movie earns money) section.

You simply write up your management bios, your target audience and your distribution plan. There is also the option outsource your Marketing Plan, with our Business Plan Sections - Done For You , but we have already given you the roadmap on exactly how to approach your Marketing and Distribution Plans using an analytical and proven approach. You'll have a Film Investor Agreement, a real PPM (private placement memorandum), most of the legal docs that prove you're ready to maintain your Chain of Title and a Pitch Deck template. This is our most impressive package, we have seen it work time and again, and is best for those with a high end, professional mindset targeting the same with their investors.

Fastest Business Plan With Some Industry Expertise

You can scale the Platinum Plus back to our Gold Toolkit + Financials Bundle - you get a lot of the above. Key differences are 10 Comparable Films, chosen from our scaled down database of 400+ indie films, no PPM and the Legal Pack (Chain of Title) is an optional add-on. You'll still have the Business Plan Template, Film Investor Agreement and Pitch Deck Template. This package has helped dozens of filmmakers secure investors over the years and is a solid option for those with a lighter budget. A higher time investment on your end, a bit less expertise behind you, but a lower financial investment.

DIY Business Plan With Some Industry Expertise

The Gold Toolkit is best for those who want to really dive in to the film business and do the heavy lifting themselves. You still get a ton of Filmproposals expertise and templates, but you'll get into the nitty gritty of financial projections, comparable films, marketing plan, distribution plan and finding film investors. Just like our other bundles and toolkits, filmmakers have raised millions of dollars of film funding with this package.

FREE Sample Business Plan Template

Our actual Business Plan Template in Microsoft Word is always up to date (this sample is older), fully editable and contains far more detail and text than this short excerpt. You can either share the template below or subscribe to our FREE Business Plan Course and have it delivered to your inbox .

Click to download the FREE Movie Business Plan Sample .

These film business plan tips will help you to attract investors and present the offer that gets their attention. The research process inherent to preparing a business plan forces you to look at the financing of other films and refine your precise film investor offer. This process will lead you straight to finding and securing the right investors for your movie.

Whether you use a film business plan, private placement memorandum, film investor agreement or other fundraising vehicle, the thought process required to complete your film business plan is invaluable and will help you stand out from the crowd and pitch your project in a way that compels investors to want a piece of your investment opportunity!

FREE Course - How to Write a Film Business Plan

How to Write a Film Business Plan is the Number 1 goal of most of our filmmakers, so we wrote a FREE How to Write a Movie Business Plan online course. Writing a business plan can be overwhelming to some, and while our FilmProposals Business Plan Bundles & Toolkits will save you hundreds of hours with prewritten text and templates and speed up your learning curve by showing you how to complete complicated financial projections, there is still a lot of information to process. We designed this Film Business Plan Course to be sent once per week to break the process of writing your business plan into manageable pieces, and to keep you accountable and focused. In case you can't see the sign up form, try here .

Top of Film Business Plan Template

Crafting a Film Distribution Plan

Your Film Distribution Plan just may be the way to unlock the secret pathway to the big screen for your indie film. Dive into our comprehensive guide on crafting a compelling distribution strategy to woo audiences and critics alike! Our definitive exploration of indie film distribution, where we unveil the strategies that will help independent filmmakers navigate the complex terrain of getting their work in front of eager audiences. Learn all about: Crafting the Ultimate Film Distribution Plan .

Top of Film Business Plan

• Indie Film Return on Investment

Discover the secrets behind skyrocketing yours while unraveling the blend of creative storytelling and strategic financial planning. Dive in to learn how to balance artistic passion with profitable entrepreneurship in the world of indie film. Embarking on the journey of independent filmmaking is a challenge in and of itself, but the path to profitability requires an astute blend of creativity and business acumen. The quest for a substantial Return on Investment (ROI) is not merely a financial ambition; it's a necessary strategy to sustain your passion and continue producing impactful stories. More Info: Indie Film Return on Investment

Top of Film Business Plan Tips

How to use a Film Investor Agreement

What does the deal actually look like between you and your investors? Who is getting paid first, when and how much? What does profit participation look like? How do you ensure nothing is standing between you and an interested film investor?

One way is by using a Film Investor Agreement .

Tips on Film Marketing Plan & Distribution Plan

Your Film Marketing Plan & Distribution Plans are the hardest parts of your business plan to complete. FilmProposals has done all the heavy lifting for you for your financial projections, covering the industry, using top tier research and statistics and discussing all the latest release trends and acquisitions. However, Film Marketing and Distribution Plans are unique to every film and this is where a producer has to focus their efforts to be successful. When you have these mapped out, investors and distributors will know you have a solid deal on the table. Luckily, we've helped so many successful filmmakers over the years, and now offer our expert formula for reaching your audience, winning film festivals and getting distribution .

Why Start a Film Production Company

Filmmakers gain a huge advantage when they start a film production company . This process allows them to pursue equity-based crowdfunding for larger sums across a wider base of investors than just typical donation-based crowdfunding. It also helps to protect your film, management team, opens additional financing opportunities and makes your projects far more appealing to film investors. You will, of course, need to secure legal counsel to pursue this path, however, here is a high level overview of some of your options.

Independent Film Companies and How They Got Started

For any indie filmmaker, independent film companies are greatly important. More often than not, these are the only movie companies indie filmmakers have the potential to work with. But the origin stories of your favorite indie movie company in the film industry may surprise you and will definitely enlighten you and provide inspiration as you embark on starting your own independent film company .

Advanced Business Plan Tips

We are going to assume the finer details of your project are worked out, you already have a killer script and dive straight into the lesser-known secrets of business plan writing. Here we look at a few of the common pitfalls, some practical advice on how to avoid them and put you in the stakeholder’s shoes with some hypothetical pitches. Learn more: Advanced Business Plan Tips

• Film Business Plan VOD Projections

The new world of VOD and being able to target your market directly is fantastic news for producers, especially those who could or did not follow the traditional distributor model. However, unlike the traditional theater/distributor model, these opportunities are much more difficult for projections and business plans. Use our outline of the different VOD business models, costs and calculations associated with each, as well as which statistics and case studies you want to use in your business plans. More Info: Film Business Plan VOD Projections

Where To Get Film Industry Statistics

One of the keys to any business plan is to look at historical and projected industry trends. Do you know how well filmed entertainment is doing now and how or if it is projected to grow? Which segments and countries have the most promise? Streaming and VOD trends? Which markets and audiences are succeeding and which are trending down? You can't possibly talk to investors unless YOU know your industry cold. Learn more: Film Industry Statistics

The business plan info really opened my eyes to how a lot of this business is so dependent on a sound business plan... and that creativity does not have to be compromised. -- More Testimonials

... I'm now sending out my completed business plan/film proposal document to potential investors and the one comment I'm getting back almost immediately is that it's so well laid out and professional. Believe me, first impressions really do count. --

More Film Business Plan Tips

• Sundance: Why the Aggressive Indie-Film Market Reflects Real Promise for the Future
• Independent Film Market Rebounds at Sundance Film Festival
• Indie Film Lives, Thrives, Blossoms & Blooms !!

Attract Investors with Your Plan

• Film Marketing Plan & Distribution Plan Expert Advice
• Film Distribution Plan
• Professional Film Financial Projections
• Use a Film Investor Agreement
• Advanced Film Business Plan Tips
• About Independent Film Companies
• Start a Film Production Company
• Film Industry Statistics
• FREE How to Write a Film Business Plan Course

While our FilmProposals Bundles & Toolkits will save you hundreds of hours with prewritten text and templates and speed up your learning curve by showing you how to complete complicated financial projections, there is still a lot of information to process. We designed this FREE Film Business Plan Course to be sent once per week to break the process of writing your business plan into manageable pieces, and to keep you accountable and focused. In case you can't see the sign up form, try here .

FilmProposals - 2024 Financing Toolkits & Bundles

DIY Toolkits, Legal & Finance Service Bundles See All Financing Toolkits , Financing Bundles & Film Legal Packs

Gold Toolkit

• Financing Manual
• Financial Projections Template
• Business Plan Templates (Narrative & Documentary)
• Investor Agreement Outline
• Film Budget Template
• Indie Film Pitch Deck
• Custom Indie Film Database
• BONUSES (MPA Market Stats, Dealmaking, Investor Tips, ++ )
• Regular Price $303, Save $124

Gold Toolkit + Financials Bundle

• Full Gold Toolkit
• + Professional Sales Projections & Investor ROI (10 Films)
• Regular Price $802, Save $103

Platinum Bundle

• + Professional Sales Projections & Investor ROI -10 Films (Reg $499)
• + Film PPM Investor Agreement (Reg $499)
• + Filmmaker Legal Pack (Reg $129)
• Regular Price $1430, Save $231

Just want to thank you for your materials and help over the past year. I could not have raised the $1.5 million or made this film without the materials you provided. The bargain of my career! - James Sadwith, Producer, Writer, Director, Coming Through the Rye

Finished my deck on Friday. Got it into a few potential investor’s hands over the weekend, and by Monday had 3 out of the 10 available memberships spoken for at $160K each. The revenue projections and film comparable services by NASH, along with the business plan and pitch deck templates were instrumental in presenting the project in such a way that financially minded potential investors could understand the movie business, the market and how my project could possibly give them a substantial ROI. Melissa was amazing throughout the entire process. Always there to answer any questions. Couldn’t have done it without you guys. Can’t thank you enough. Best money I’ve ever spent. - Michael F, Executive Producer, Inside Sportfishing ( Gold + Financials Bundle )

FilmProposals Tools and Templates

• Film Financing Bundles
• Film Financial Projections Template
• Documentary Business Plan Template
• Film Financing and Investor Manual
• Film Investor Agreement Outline
• Film Investor Tip Sheet
• Filmmaker Legal Pack
• Indie Film Database
• FREE Business Plan E-Course

Production Company Business Plan Template

Written by Dave Lavinsky

Production Company Business Plan

Over the past 20+ years, we have helped over 500 entrepreneurs and business owners create business plans to start and grow their production companies.

If you’re unfamiliar with creating a production company business plan, you may think creating one will be a time-consuming and frustrating process. For most entrepreneurs it is, but for you, it won’t be since we’re here to help. We have the experience, resources, and knowledge to help you create a great business plan.

In this article, you will learn some background information on why business planning is important. Then, you will learn how to write a production company business plan step-by-step so you can create your plan today.

Download our Ultimate Business Plan Template here >

What is a Production Company Business Plan?

A business plan provides a snapshot of your production company as it stands today, and lays out your growth plan for the next five years. It explains your business goals and your strategies for reaching them. It also includes market research to support your plans.

Why You Need a Business Plan for a Production Company

If you’re looking to start a production company or grow your existing production company, you need a business plan. A business plan will help you raise funding, if needed, and plan out the growth of your production company to improve your chances of success. Your production company business plan is a living document that should be updated annually as your company grows and changes.

Sources of Funding for Production Companies

With regards to funding, the main sources of funding for a production company are personal savings, credit cards, bank loans, and angel investors. When it comes to bank loans, banks will want to review your business plan and gain confidence that you will be able to repay your loan and interest. To acquire this confidence, the loan officer will not only want to ensure that your financials are reasonable, but they will also want to see a professional plan. Such a plan will give them the confidence that you can successfully and professionally operate a business. Personal savings and bank loans are the most common funding paths for production companies.

Finish Your Business Plan Today!

How to write a business plan for a production company.

If you want to start a production company or expand your current one, you need a business plan. The guide below details the necessary information for how to write each essential component of your production company business plan.

Executive Summary

Your executive summary provides an introduction to your business plan, but it is normally the last section you write because it provides a summary of each key section of your plan.

The goal of your executive summary is to quickly engage the reader. Explain to them the kind of production company you are running and the status. For example, are you a startup, do you have a production company that you would like to grow, or are you operating a chain of production companies?

Next, provide an overview of each of the subsequent sections of your plan.

• Give a brief overview of the production industry.
• Discuss the type of production company you are operating.
• Detail your direct competitors. Give an overview of your target customers.
• Provide a snapshot of your marketing strategy. Identify the key members of your team.
• Offer an overview of your financial plan.

Company Overview

In your company overview, you will detail the type of production company you are operating.

For example, your production company might specialize in one of the following types of production companies:

• Feature Film Production Company : this type of production company handles all of the necessities that go with producing a major film – hiring on-screen and off-screen talent, writers, musicians, location scouts, a team for pre-production, post-production, legal, etc.
• Commercial Production Company: this type of production company can produce stock footage, short corporate videos, training videos, and creative projects such as music videos and short films
• Post Production Company: this type of production company handles video editing, special effects, color correction, sound mixing, and editing to eventually produce the final video.
• Niche Production Company: this type of production company focuses on one specific niche that it has perfected. They often combine the best of animation, commercial, and post-production companies.

In addition to explaining the type of production company you will operate, the company overview needs to provide background on the business.

Include answers to questions such as:

• When and why did you start the business?
• What milestones have you achieved to date? Milestones could include the number of clients served, the number of films with positive reviews, reaching X number of clients served, etc.
• Your legal business structure. Are you incorporated as an S-Corp? An LLC? A sole proprietorship? Explain your legal structure here.

Industry Analysis

In your industry or market analysis, you need to provide an overview of the production industry.

While this may seem unnecessary, it serves multiple purposes.

First, researching the production industry educates you. It helps you understand the market in which you are operating.

Secondly, market research can improve your marketing strategy, particularly if your analysis identifies market trends.

The third reason is to prove to readers that you are an expert in your industry. By conducting the research and presenting it in your plan, you achieve just that.

The following questions should be answered in the industry analysis section of your production company business plan:

• How big is the production industry (in dollars)?
• Is the market declining or increasing?
• Who are the key competitors in the market?
• Who are the key suppliers in the market?
• What trends are affecting the industry?
• What is the industry’s growth forecast over the next 5 – 10 years?
• What is the relevant market size? That is, how big is the potential target market for your production company? You can extrapolate such a figure by assessing the size of the market in the entire country and then applying that figure to your local population.

Customer Analysis

The customer analysis section of your production company business plan must detail the customers you serve and/or expect to serve.

The following are examples of customer segments: individuals, companies, filmmakers, studios.

As you can imagine, the customer segment(s) you choose will have a great impact on the type of production company you operate. Clearly, small businesses would respond to different marketing promotions than filmmakers, for example.

Try to break out your target customers in terms of their demographic and psychographic profiles. With regards to demographics, including a discussion of the ages, genders, locations, and income levels of the potential customers you seek to serve.

Psychographic profiles explain the wants and needs of your target customers. The more you can recognize and define these needs, the better you will do in attracting and retaining your customers.

Finish Your Production Company Business Plan in 1 Day!

Don’t you wish there was a faster, easier way to finish your business plan?

With Growthink’s Ultimate Business Plan Template you can finish your plan in just 8 hours or less!

Competitive Analysis

Your competitive analysis should identify the indirect and direct competitors your business faces and then focus on the latter.

Direct competitors are other production companies.

Indirect competitors are other options that customers have to purchase from that aren’t directly competing with your product or service. This includes social media platforms, web developers, apps and even college or university students. You need to mention such competition as well.

For each such competitor, provide an overview of their business and document their strengths and weaknesses. Unless you once worked at your competitors’ businesses, it will be impossible to know everything about them. But you should be able to find out key things about them such as

• What types of clients do they serve?
• What type of production company are they?
• What is their pricing (premium, low, etc.)?
• What are they good at?
• What are their weaknesses?

With regards to the last two questions, think about your answers from the customers’ perspective. And don’t be afraid to ask your competitors’ customers what they like most and least about them.

The final part of your competitive analysis section is to document your areas of competitive advantage. For example:

• Will you provide concierge services or customized packages for your clients?
• Will you offer products or services that your competition doesn’t?
• Will you provide better customer service?
• Will you offer better pricing?

Think about ways you will outperform your competition and document them in this section of your plan.  

Marketing Plan

Traditionally, a marketing plan includes the four P’s: Product, Price, Place, and Promotion. For a production company business plan, your marketing strategy should include the following:

Product : In the product section, you should reiterate the type o f production company that you documented in your company overview. Then, detail the specific products or services you will be offering. For example, will you provide video editing, music editing, pre-production, or post-production services?

Price : Document the prices you will offer and how they compare to your competitors. Essentially in the product and price sub-sections of yo ur plan, yo u are presenting the products and/or services you offer and their prices.

Place : Place refers to the site of your production company. Document where your company is situated and mention how the site will impact your success. For example, is your production company located in New York or Los Angeles, a business district, a standalone office, or purely online? Discuss how your site might be the ideal location for your customers.

Promotions : The final part of your production company marketing plan is where you will document how you will drive potential customers to your location(s). The following are some promotional methods you might consider:

• Be part of filmmaker associations and networks
• Reach out to websites
• Distribute flyers
• Engage in email marketing
• Advertise on social media platforms
• Improve the SEO (search engine optimization) on your website for targeted keywords

Operations Plan

While the earlier sections of your business plan explained your goals, your operations plan describes how you will meet them. Your operations plan should have two distinct sections as follows.

Everyday short-term processes include all of the tasks involved in running your production company , including client communication and interaction, planning and producing production services, billing clients, etc.

Long-term goals are the milestones you hope to achieve. These could include the dates when you expect to book your Xth client, or when you hope to reach $X in revenue. It could also be when you expect to expand your production company to a new city.  

Management Team

To demonstrate your production company’s potential to succeed, a strong management team is essential. Highlight your key players’ backgrounds, emphasizing those skills and experiences that prove their ability to grow a company.

Ideally, you and/or your team members have direct experience in managing production companies. If so, highlight this experience and expertise. But also highlight any experience that you think will help your business succeed.

If your team is lacking, consider assembling an advisory board. An advisory board would include 2 to 8 individuals who would act as mentors to your business. They would help answer questions and provide strategic guidance. If needed, look for advisory board members with experience in managing a production company or successfully running a small filmmaking company.  

Financial Plan

Your financial plan should include your 5-year financial statement broken out both monthly or quarterly for the first year and then annually. Your financial statements include your income statement, balance s heet, and cash flow statements.

Income Statement

An income statement is more commonly called a Profit and Loss statement or P&L. It shows your revenue and then subtracts your costs to show whether you turned a profit or not.

In developing your income statement, you need to devise assumptions. For example, will you book 5 films or videos per day, and/or offer production packages ? And will sales grow by 2% or 10% per year? As you can imagine, your choice of assumptions will greatly impact the financial forecasts for your business. As much as possible, conduct research to try to root your assumptions in reality.

Balance Sheets

Balance sheets show your assets and liabilities. While balance sheets can include much information, try to simplify them to the key items you need to know about. For instance, if you spend $50,000 on building out your production company, this will not give you immediate profits. Rather it is an asset that will hopefully help you generate profits for years to come. Likewise, if a lender writes you a check for $50,000, you don’t need to pay it back immediately. Rather, that is a liability you will pay back over time.

Cash Flow Statement

Your cash flow statement will help determine how much money you need to start or grow your business, and ensure you never run out of money. What most entrepreneurs and business owners don’t realize is that you can turn a profit but run out of money and go bankrupt.

When creating your Income Statement and Balance Sheets be sure to include several of the key costs needed in starting or growing a production company:

• Cost of equipment and production studio supplies
• Payroll or salaries paid to staff
• Business insurance
• Other start-up expenses (if you’re a new business) like legal expenses, permits, computer software, and equipment

Attach your full financial projections in the appendix of your plan along with any supporting documents that make your plan more compelling. For example, you might include your studio location lease or a list of production services you plan to offer.  

Writing a business plan for your production company is a worthwhile endeavor. If you follow the template above, by the time you are done, you will truly be an expert. You will understand the production industry, your competition, and your customers. You will develop a marketing strategy and will understand what it takes to launch and grow a successful production company.  

Don’t you wish there was a faster, easier way to finish your Production Company business plan?

OR, Let Us Develop Your Plan For You

Since 1999, Growthink has developed business plans for thousands of companies who have gone on to achieve tremendous success.   Click here to hire someone to write a business plan for you from Growthink’s team.

Other Helpful Business Plan Articles & Templates