On the Importance of Money

Last update: 2025-01-22 9:09am

New, Lower Prices in the Crowdfunding Shop

Based on feedback I’ve received from potential new contributors, pricing in the Crowdfunding Shop has been lowered across-the-board.

Every merchandise item has been lowered in price from $5 to $20, with the “all perks” bundle lowered by a full $40.

Please note, however, that the shop isn’t meant to be a competitive retail store. The goal is to raise money to complete the film. Thus, the merchandise perks are a token, a souvenir for your support, much like an “NPR Tote Bag”. Which brings us to…

The Importance of Money in the Filmmaking Process

What follows is a detailed article on the current state of crowdfunding. I hope you will take the time to read it – it lays out the future of the project in real terms, without sugar-coating the challenges.

First, I must thank all of you who have contributed thus far. It has been immensely helpful – there is no way I could’ve accomplished this much without your help. Several individuals have been repeat contributors and have been exceedingly generous.

There are also additional contributions beyond money which have greatly benefitted the project – equipment such as hard drives, memory cards, a monitor, and camera batteries. There are contributions of frequent flyer miles, hotel rooms, software licenses, and production services such as film restoration. Plus, lodging in private homes and the use of private vehicles. These contributions have prevented the need to spend money at critical moments, and in some cases have reduced future spending.

But, at the current rate of crowdfunding, the project is in danger of stalling. Taking crowdfunding expenses into account (platform fees, credit card fees, perk production, shipping), the amount earned via the shop is the equivalent of one-half of minimum wage. (However, unlike working a minimum wage job, I get to work on making the film.)

My investment in the film is my time, which equates to lost revenue because I’m not performing nearly as much work for clients as normal (I’m a professional videographer and web/app developer). I have logged an average of 150 hours per month working on the documentary. Calculating lost revenue, conservatively, at my lowest rate to a nonprofit/educational client, I have lost over $96,000 in 2024 alone.

(Thankfully, my ever-patient husband has a good job and a stable income, which is enough – just – to cover the household bills along with the limited amount I make.)

But, for the most part, that’s not what I’m asking people to help with. That is my risk, on my shoulders. The hope is that when the film is complete, I can sell it to a distributor or streaming service and recoup that investment.

What I am asking for in this campaign is help covering the actual out-of-pocket operational costs of making the movie. Because I don’t have my primary revenue stream, I cannot pay these expenses directly, and sources of credit are now maxed out.

(Because I work from home, I am able to do a limited amount of work for existing clients when I’m not working on the film, but this barely pays the bills, and in some months we’ve had to borrow from close friends and relatives just to make ends meet.)

If your response to the above is, “Well, dummy, you shouldn’t have embarked on this passion project without having the resources to complete it” – you’re right! I can’t argue with that. But when the opportunity presented itself a year ago, I saw it as a once-in-a-lifetime moment, and I still feel that way – I’m very glad I’ve taken this “by the seat of your pants” journey. I’m just hoping I can make it to the destination, so I can buy some new pants.

Crowdfunding and sponsorships are not the only sources of funds that I’ve explored. Traditionally, documentary films are often funded by grants from various studios, distributors, and foundations. This year, however, due to the unfortunate state of the streaming industry (thanks to corporate decisions to abandon traditional models), most grant funding has dried up. Thus far, I have applied for five different available grants, ranging from $2,500 to $25,000. Four were awarded to other projects, while one is still pending. I will continue to look for grant opportunities, but the likelihood of a receiving a significant award in the next few months is very low.

Now to the nitty-gritty. At the time of this writing, the out-of-pocket expenditures so far for the project are over $14,000, while monetary contributions just passed $11,000. (Those expenditures include the costs of perks/fulfillment.) So, even with the help I’ve received, the project is $3,000 in the hole, and there is very much more to do.

I’ve put together a page called “Transparency” which outlines the budget, what has been accomplished so far, and what must be done to complete it. I encourage you to check it out. I want contributors to know what’s going on, and that their contributions are being allocated wisely. I will continue to update this document multiple times per month.

The “too long, didn’t read” is that to complete principal photography (the main task of filming interviews and B-Roll) at dozens of locations around the country requires over $22,000. That’s just to acquire the core material. To actually finish the film, and get it premiered and shown at festivals, requires an additional $58,000. Over a quarter of that is just for music licensing – the music played at the Organ Grinder was mostly popular tunes, still under copyright, and to put any of it in the movie requires paying the music publishing rights-holders (Disney, Warner).

Incidentally, I’ve been asked many times why I don’t offer a copy of the finished film as a perk. This is why. I cannot distribute the film to backers without first licensing the music. It’s a Catch-22.

So, what happens next?

I think it’s important to not look at the total price tag and suffer a kind of paralysis from being overwhelmed. There are manageable chunks to the project that can be completed in stages. As each stage is complete, and more people see what’s been accomplished, the hope is that it will attract more contributions.

For example, each of the “Road Trip” items (see the Transparency page for a list and descriptions) can be accomplished for between $2,200 and $4,200. A single contribution or sponsorship in that range will allow for the completion of a trip.

(With one hitch – if I’m not at home, I can’t do any of my normal client work at all, meaning an additional loss to me of around $1,000 per road trip, so in order for the road trips to happen, I’ll need more in contributions than just the cost of the trip. The road trips are the only circumstance for which I’m asking people to help cover a portion of my lost income. The rest is my burden.)

I’m looking for certain someones who loved the Organ Grinder and places like it, who want to share its amazing story with the world, and who have the means to move this project forward one chunk at a time. I think it’s doable – I just have to find those people. In return I can give them prominent credit in the film – or credit for a friend, loved-one, or “in memoriam”.

I’m also offering sponsorships, a way for a business to promote themselves in marketing materials and with their logo in the credits. I would love to hear people’s suggestions on what businesses might be a good fit as a sponsor – a pizza joint, perhaps? A quirky “Keep Portland Weird” (or Denver) type of establishment? A piano or organ shop?

Looking at the budget optimistically, if everything comes together, with your help I will have produced a theatrical-quality, feature-length documentary featuring dozens of people from ten or more states (and three countries) for around $100,000 in actual expenditures. I think that’s a very reasonable goal, given the budgets of most films these days, and something we can all be quite proud of.

One final note: I’m not accepting contributions from the principal interview subjects in the film. It’s important to keep things “journalistically pure”, so that audiences can be confident that the portrayals of individuals in the film are not unduly influenced. This is not a puff piece – this is a real documentary. There is some genuine behind-the-scenes drama and dark times that will be covered. But, given subject material, the main story is destined to be a fun and uplifting ride!

Have a suggestion or a comment?

I would love to hear from you. Please use the Contact form.

Answers to Questions

Some questions have come in since I first posted this article:

Q: Are contributions tax-deductible

Possibly, by special arrangement. The film’s finances and intellectual property are contained in an LLC (a for-profit entity), as is common for many productions. However, here in Portland, the historic Hollywood Theatre operates as a nonprofit, and they can provide pass-thru funding for independent filmmakers.

The way it works is that a contribution is made to the Hollywood Theatre’s nonprofit organization, and they take a small percentage for their purposes (currently 6%), while passing the rest on to the filmmaker. This allows the donor to claim a tax deduction on the full amount (consult your tax advisor, though!). Full details here: Film Action Oregon Fiscal Sponsorship

Note that due to the lengthy application process, it’s really only worth the time to complete the requirements if the donation is in the $1,000+ range.

Q: Are there ways to reduce the budget?

Yes! Some planned items can simply be deleted, but it would result in a lesser film. The trade-offs are discussed on the Transparency page.

But beside simple deletions, some items can be eliminated by replacing them with volunteer efforts.

For example, cleaning up and formatting the transcripts (dozens of hours worth) is currently budgeted to be paid to a 3rd-party. This work could be done by a volunteer. But, it will take many hours, and it will also require signing an NDA (non-disclosure agreement), as some things recorded in interviews are private and are meant to stay private (this is serious). UPDATE 2025-01-22: We may have one or two volunteers – thank you for stepping up – for now, this anticipated cost has been removed from the budget.

Another example is animations. It is planned to have animations featuring the Organ Grinder monkey as a mascot – in the main titles of the film, to introduce chapters, and on some animated maps depicting people’s travels. This work could be done by a volunteer animator with suitable skills, but it is a lot of work, and people do usually want to be paid for their work. But if you are an animator (or know someone) who’d love to be part of this project in return for screen credit, please do get in touch!

Some of the road trip budgets could be reduced with the loan of a vehicle (minivan or small SUV, due to the equipment involved), so that a car does not need to be rented. (We are a one-car family and my husband needs it for work.)

I carry UNOC (use of non-owned cars insurance) which covers me when using other people’s vehicles for my business. (The vehicle would need to be used for 2-3 weeks at a time, and would put on several thousand miles.)

Alternately, a mechanically-sound vehicle (doesn’t have to be pretty) could be outright donated. Through the aforementioned Hollywood Theatre fiscal sponsorship program, such an in-kind contribution could be tax-deductible (again, consult a tax advisor). After the road trips are complete, the vehicle could conceivably be sold with proceeds going toward the film.

The area of music is the single largest post-production expense. The music publishing companies are the gatekeepers on this, and they have the power to say “no”. There are circumstances were “Fair Use” under the copyright law comes into play, several of which apply to this film. But to do so requires an attorney to issue a legal opinion letter for each piece of unlicensed content in a film stating the reasons why the usage qualifies. This too costs money. Without the licenses or the opinion letter, the film cannot get insurance, and without insurance, it won’t get picked up by a distributor.

One way around this is through old-fashioned networking. If there is a way to reach the original composer or band, they have the power to instruct their publishers to waive fees and grant a license for a good cause. But getting through to these people is very difficult (I’ve tried). If you know someone who knows someone who knows John Williams, for example, his music was played extensively at the Organ Grinder, and maybe he’d be enthusiastic about this project.

If you are an attorney with experience in copyright law and the entertainment business, perhaps you might consider helping with the “Fair Use” issue on a pro bono basis. (The film does have one attorney who is providing some consultation services, but he is unable to devote more than a few hours to the project.)

Q: What about soliciting investors, rather than contributions?

That is a very complicated question. Investing in a film, especially an independent documentary, is HIGHLY speculative. And, the amount that a person would have to invest in the picture is higher than the fundraising ask, because the valuation of the film (in order to break even) is based on the value of my time, as well as the direct expenditures. And there are all the thorny issues that come up when people go into business together. That said, if someone is seriously considering investing, and understands the (very) high risks, I would be happy to speak with them and provide more details about the budget and plans.

Q: Why not just put it on YouTube, rather than seeking a theatrical distributor or streaming service?

Putting the film on YouTube is a possibility, but it is a question to be answered once the film is near completion. It doesn’t solve the problem of getting funding to actually get the film made. And, just because something goes on YouTube, doesn’t mean it absolves the filmmaker of copyright claims (and lawsuits). YouTube does provide a revenue sharing model, and their automated copyright filter probably wouldn’t catch any of the Organ Grinder music performances (because, until this project came along, most was never published digitally), but a music publisher would eventually find out and could take legal action.

Q: Have you talked to OPB?

Not yet, but I would certainly answer the phone if they called. However, the format of documentaries on shows such as Oregon Experience is different than the structure and pacing of this film. I’m not sure it would be a good fit, and I’m not sure OPB would want to devote multiple episodes to the topic. (There is way more than will fit in a 1hr TV show.)

Q: Can you get a business loan?

Doubtful. As stated before, indie documentary production is highly speculative, conventional business lenders probably wouldn’t touch it. Further, the majority of revenue has been coming from crowdfunding, and a lender would see the same problems discussed in this article, and determine that the ability to pay the loan back over time is poor. There are film financing companies, but they like to see a track record, and this is my first feature-length, non-client-funded documentary. (I have done a documentary before, for a client.)

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