Completion Bond

FAQ Compass Functions Business Associate International Industry Links Login Register Eesti keeles Deutsch Español Français Italiano Portuguese Chinese Japanese	Completion Bond If there is bank involved, then completion bond is necessary Only guarantees to bank and studio that delivery of picture occurs To access cash for production from the bank the loan is secured by the bonded film - this is not insurance policy Bonding company checks if contractible talent is trustworthy available and capable, if production don't get rained out in location, if picture will come in with projected budget, etc. If producing co. fails, will take over, or soft-takeover the picture Wants delivery to the bank to be Notice of Delivery (ND) Cost for service is 3-6% of negative cost - 50% of it usually refundable after delivery occurs. The system of bank, studio, completion bond, and production company are intertwined, they are one system bypassing the pictures produced on spec and for film festivals.

If there is bank involved, then completion bond is necessary
Only guarantees to bank and studio that delivery of picture occurs
To access cash for production from the bank the loan is secured by the bonded film - this is not insurance policy
Bonding company checks if contractible talent is trustworthy available and capable, if production don't get rained out in location, if picture will come in with projected budget, etc.
If producing co. fails, will take over, or soft-takeover the picture
Wants delivery to the bank to be Notice of Delivery (ND)
Cost for service is 3-6% of negative cost - 50% of it usually refundable after delivery occurs.

The system of bank, studio, completion bond, and production company are intertwined, they are one system bypassing the pictures produced on spec and for film festivals.