Financier becomes Future Film Group
LONDON — Factor 8 Films, a U.K. tax-based financier, has relaunched itself as Future Film Group, with $40 million in risk money to invest in British movies.Since March 1998, Factor 8 has used U.K. tax breaks to raise over $250 million in finance for around 30 films, with a net cash benefit to producers of $25 million. The success of that business has left the company with $10 million in capital, which it is now planning to reinvest in the British industry under its new banner. The cash will be tied to other financing to reach $40 million. “This marks a serious investment in the future of British film,” said Tim Levy of Future Film. “Future Film Group is the first move that we are making to expand our interests away from tax-driven investment in order to create mutually beneficial opportunities for both our investors and the U.K. film industry,” said his partner Stephen Margolis. At the same time, Future Film will continue to operate its tax-driven business. This differs from conventional sale-and-lease-back schemes by offering a greater participation in the commercial exploitation of a film.