HOW DO PRODUCERS MAKE MONEY?

As told by Alex Saks

Unless you have an overall deal with a studio or financier, you don’t make money as a producer until the movie gets made. Most of the work that I’m doing on a day-to-day basis, if I’m not prepping or in production on a film, is purely speculative work. When I develop a script with a writer for months or even years, that’s all unpaid work that I’m doing because I believe in the project and can envision its materialization, and therefore, am optimistic that there’s a payday in the future. Studios used to have development fees for producers, but that’s no longer the norm (some studios may still offer these fees, but they’re minimal). Financially speaking, it can be hard to be a producer, not knowing for certain where or when your next check is coming from. Think of it like freelancing — you live project to project.