Production company, start up cost!

S

Sedonafilmer

Active member
Hey everyone im putting together a production company, so this is my start up cost estimate. I researched for a couple of days to get an idea of costs, so this is the list I compiled. If you could tell me all what you think as in

Do I have everything i need?

Am i paying too much for something?

Is there something i dont need?



Start-Up Cost Estimate

Editing

$3,000 Power Mac G5
$300 LCD screen
$800 Final Cut Studio
$300 MiniDV camcorder (one chip)
$70 Sound System
$20 Firewire
$20 Studio headphones

$4,510 Editing Sub-Total

Camera

$4,000 XL2
$450 Hard Case
$200 Tripod

$4,650 Camera Sub-Total

Sound

$300 Shotgun Mic
$200 Boompole
$100 Shock Mount
$40 XLR cable

$640 Sound Sub-Total

Lighting

$2,000 Arri light kit
$300 (2) C stands
$150 (3) flags
$50 Dimmers
$50 Gel pack
$30 (2) extension cords
$20 stinger

$2,600 Lighting Sub-Total



Supplies

$150 Desk
$40 (6) gaffers tape roll
$35 (10) MiniDV tapes

$225 Supplies Sub-Total

Legal

$295 LLC register fee

$295 Legal Sub-Total


GRAND TOTAL= $12,920



THANKS!! :thumbsup:
 
Way too much $$$$. I started my production company for about $55.

Cost breakdown:

Cost of DBA (registering business name)- $35.

Cost of business cards. $20.

Grand Total. = $55.



This may sound facitious, but actually, I did not spend that much. The way that I started is that 3 of us, myself, a partner and a muscian friend, who was making electronic music, got together one summer and made some very highly stylistic music videos, using a just a few actor friends. We shot the music videos on VHS and edited on two high end consumer decks that my partner had bought a couple of years back. We cut together the vidoes. Then took them around and showed them to people. We finally found a guy with a speciallty boutique looking for someone to make some commercials for him. When we had the client, and his money, finding equipment was not big deal, we rented stuff, and borrowed stuff and started making commercials. For post, we had a large cable company that would rent out there post system and directly bill the client. It worked out great. With every commercial we made, we had something more to show other clients. It grew from there.

My advice to you, if you want to make money with video. Is to get together the $ you were talking about above and keep it somewhere safe (under your bed, in a bank, CDs, what ever). While you are doing this, get access to video equipment any way you can. Friends, local filmmaking collectives, schools or colleges or my favorite, local cable access programs and put together a reel. Make the best reel you can, then start shopping it around. Find some clients then shift that money back into your business. Keep improving your reel and keep showing it around. Have some one else pay for your stuff.

Remember, the only thing that you absolutly have to have to have a business is customers. How you get those customers is the question. Having 12 grand worth of equipment in your bedroom or basement will not do that. You can not show people pictures of a computer and camera and convince them you can make a video or film. Show them a video or film you have made!

This is just my two cents.
 
You have a good point David. but here's the thing. I'm not paying for any of it. my GF's mom wants me and her to start a production company, shes funding us (she just got alotta $$$). The other thing about using other peoples stuff is that I only know certain technologies ( i went to a digital film school). I already have a reel from my work and I plan to extend it once we get our equipment. If i had no $$$ i would do it a much cheaper way, but seeing as how someone else is paying for it...IM GOIN FOR THE GUSTO!! :grin:

But i had forgotten about business cards....THANKS DAVID!!
 
That being the case, there are a few things that jump out at me about your list. If you do not mind, double check on these items.

I would go with the new power Macs, with at least 2gigs of Ram. That will run more than 3 grand. I would get 2 LCDs, dual monitors rock. Final cut studio is more than $800 (unless you are getting a student discount or it's an up grade). What is the $20 for "Firewire"? Just the cable? $70 for a sound system is very optimistic. I would also spend much more than $29 for headphones, get some real good ones, you'll not regret it. Also, you did not budget anything for storage. I would invest in some more hard drives. I like the external firewire drives. I would budget at least $500 for that (at least 2 500 gig drives, trust me, you'll use them).

$200 for a tripod is optimistic. You will spend more for gels and extension cords, by the way, stingers are extension cords. You should make sure that you get the highest rated (by ampres) cords you can, and they cost more than $30. That $2grand for the Arri light kit kinda bugs me. I think you can piece together a bette kit from Rostronics for that kind of money. Check them out.

http://www.rostronics.com/default.asp.

Just some ideas. Like I said, I have pieced my stuff together over quite a while. Just as an aside, the best investment I have made is in lighting, electrical/distribution gear. You will always use it and the better stuff makes your life easier when it counts.

Good luck.
 
Your list looks pretty good.

I promise you, however, that you will hate yourself the first time you take all that gear out on location and don't have a cart to carry it around. At my old job, I recommended (and eventually got) a decked out Magliner from FilmTools.com and it was freaking awesome. If you can afford one, there is nothing better. Otherwise, even a simple Rubbermaid will save you so much legwork and frustration.

Your tripod budget is inadequate for the size of camera you want. You need a tripod that will counterbalance an XL2, not an easy thing to do. If you want smooth movements, budget $1500 and move on. Vinten's Vision 3 head is outstanding. I like the Cartoni Focus a little better, tho.

I personally would not spend $450 on a case. Hardigg-Storm and Pelican are cheaper and stronger.

Hope this helps :)
 
Wow this stuff is all awsome guys thanks!

having said that heres a few things

"I would go with the new power Macs, with at least 2gigs of Ram."
I plan to upgrade the RAM about a gig at a time (based on need and time)

"I would get 2 LCDs, dual monitors rock"
That was the original plan, but i dont want to break the bank, but in the future defenitley!

"$70 for a sound system is very optimistic"
They have a surround sound at wal mart for $50 i figured that would be good for now, ive already got one on my tv :cheesy:

"I would also spend much more than $29 for headphones" your right

"I would invest in some more hard drives" I acutally already have 3... 620Gigs total



THANKS DAVID!!


"
Your tripod budget is inadequate for the size of camera you want. You need a tripod that will counterbalance an XL2, not an easy thing to do. If you want smooth movements, budget $1500 and move on. Vinten's Vision 3 head is outstanding. I like the Cartoni Focus a little better, tho.

I personally would not spend $450 on a case. Hardigg-Storm and Pelican are cheaper and stronger."

schizer $1500 :undecided is their another tripod thats good, but cheap?

thanks for the hard cases, those were the ones i was lookin for




I LOVE THIS FORUM!! :)
 
Don't blow off the insurance - if mom is springing for it, she'll think better of you for insisting on this one item above all else. Especially when you need it.

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If it aint your money why are you going consumer level audio kit? You want a quality audio kit plan to spend at least as much as you put into lighting. Many quality choices, none of them add up to $600 (go browse the audio forum for some good suggestions).

$70 for speakers is also going to get you erratic mixes. Then again you don't have any money for a DAW so I assume you are going to hire out the audio sweetening? What are your plans for doing audio?

Good call on the insurance. Also gonna need an accountant for at least the first year, to get you set up well. You can do them yourself (or your gf's mom) but an accountant can show you things you would never find on your own. You really should get one for at least the first year. For a small LLC type company, figure $400 to $600 depending on how much business you do, how good records you keep, and how complicated your deductions are (who would have thought computer software and hardware go in 2 entirely different categories?).

Cheers
 
Sedonafilmer said:
schizer $1500 :undecided is their another tripod thats good, but cheap?
Click to expand...
I don't think so. At least I've never seen a good head under $900 + legs. Anyone who thinks there is probably has never used a real fluid head. Bogen is recommended an awful lot around here, but they're not even in same league, since you're asking for my opinion.
 
Yeah, I would spend more on audio too.

Explain it as: "either we spend $640 today and then replace it in a year, wasting $640. Or we spend $3K now...." :)

If she's properly loaded she'll buy it.

Man I want a GF (well GF's Mum) like yours!
 
Well it came at a heavy cost...its her late husabands life insurance money, the thing is she already makes alot in a year so shes already paid off her house, bought a new car, put away for retirement, so now shes looking to start investing and such
 
Sedonafilmer said:
Well it came at a heavy cost...its her late husabands life insurance money, the thing is she already makes alot in a year so shes already paid off her house, bought a new car, put away for retirement, so now shes looking to start investing and such
Click to expand...

Shame, sorry to hear about that. It is nice to be able to use the money to invest in you and your GF's future then. I hope it goes well!
 
So basically want i want to do, is i want to get a good start up, but i dont wanna break the bank. So im trying to keep it under 15k, the mic i was thinking of getting was a AT897? (i think) it wad like 250 on B&H
 
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