U.K. and U.S. financier Future Films has joined forces with New York and Los Angeles-based entity Grand Army Entertainment to provide loan financing of up to 85% of the budget for U.S.-based movie projects costing less than $15 million.
The partners will provide funding against the value of state and federal tax incentives, as well as mezzanine finance, super-gap loans and equity.
Grand Army directors Warren T. Goz and Stewart McMichael say they have secured $500 million in funding through an unidentified U.S. institution, and have also lined up backing from an unspecific “super gap” fund.
“We are very excited to work with other recognized leaders in the field of film finance to provide a valuable resource to producers,” Goz said. “We believe that this proposition will enhance one of Grand Army’s primary objectives, which is to facilitate film and TV production that is shot primarily in America.”
Simon Horsman, chief exec of Future Film USA, said, “With the partnering of our specific skill sets, we believe that we’re offering a compelling finance structure that will enable producers to find the majority of their finance from one unified source. While certain criteria will need to be met, we will work very closely with producers, not just financiers, in order to get their films made.”