You are correct in that many of these alternatives stick additional costs to the filmmakers. I will say, however, that due to the inequalities involved in the nature of film financing, distribution costs are always deducted from a film’s revenues before the producer/film investors get paid. So, if a filmmaker included some money earmarked for self-distribution in his/her financing proposal, this money would recoup first, making it a safer part of the investment. And, it might help leverage other revenues. So, in short, if a filmmaker is raising $1 million for a film, I don’t think it’s a bad idea to try to raise $1.2 million and to have that extra $200,000 earmarked for a self of co-distribution venture if the film is not initially picked up.

This is an important discussion. My experience with my doc 51 Birch Street has been that the b.o. expectations of bigger distribs have shot sky high (thank you, penguins). And, for smaller ones, there are now so many films out there they can be very picky. So they’ve all become far more risk averse. If you financed your film in part from tv money and have your U.S. tv sale tied up, it’s particularly problematic.

And unless you get a big guarantee, do you really want to give away those valuable tv, dvd and v.o.d. rights for 10 years or more? So “hybrid” distribution (nice term) is a very viable alternative.

But, holy crap, raising money for distribution is hell. We barely raised enough to finish the film, then premiered in Toronto 3 days later! It’s exhausting and incredibly frustrating, and almost every filmmaker I’ve encountered on the festival circuit is going through it.

Scott, it’s very good advice for anyone making a fiction film and going the investor route. But being as I make docs, if I can raise enough money to simply get the thing made I’m pretty fortunate. And since it’s impractical to go the investor route for 98% of docs, I generally cobble together a bunch of broadcasters, who aren’t thrilled that I’m doing theatrical distribution at all. So another 20% for P&A is smart in theory but isn’t usually a real world option.