Starting a production company can be hard and exhausting. There are many business factors that seem hard to understand to the average creative launching a business.
In reality, a solid foundation is vital for the success of any type of business. And with the right tools and information, starting your own production company can be a lot easier than you think.
In this blog post, we will outline the basic steps for starting your own production company. So, keep reading for helpful business starting tips.
Start With a Business Plan
Creating a business plan is one of the first things you should do when you’re starting a company. It consists of several pages where your whole company is written in detail. When creating it, ask yourself what your company stands for, its mission, and its goals.
The good thing is you can find templates for a production company business plan online or you can create one yourself. Moreover, you can always hire a professional who is going to be quick and efficient in the creation process, so that you can start looking for investors right away.
Choose Your Business Structure
There are a few different business structures you can choose from when setting up your production company. Considering each has its own pros and cons, it’s important to choose the one that is best for you.
- Sole proprietorship. This is the simplest business structure, and it’s what most people think of when they start a business. You’re in full control of the business, and you’re the only one who is legally responsible for its debts. The downside is that you’re also fully exposed to liability, so if something goes wrong, you could lose everything.
- Partnership. A partnership is similar to a sole proprietorship, but there are two owners involved. Partnerships can be either limited or unlimited, and each has its own advantages and disadvantages. Limited partnerships offer some protection from liability, but unlimited partnerships don’t.
- Corporation. A corporation is a separate legal entity that offers the most protection from liability. The downside is that corporations are more complex to set up and run than other business structures, and they’re subject to more regulations.
- Limited liability company (LLC). LLCs combine elements of both proprietorship and partnership. It offers the limited liability of a corporation, but it’s simpler to set up and run than a corporation. It is the best and most frequently used option for production companies.
Obtain the Necessary Permits and Licenses
To get started, you’ll need to obtain a business license from your local, state, or federal government. You may also need to obtain a permit to operate your business in your city or town. Check with your local Chamber of Commerce or business license office for more information.
Once you have your business license and permits in place, you’ll need to purchase insurance for your production company. This will protect you and your business in the event of an accident or injury. Make sure to shop around and compare rates from different insurance providers before making a decision.
Promote Your Company
When you’re running a production company, it’s important to get the word out about your business. There are a number of ways you can promote your company and its work.
- Submit your work to film festivals. This can help you get exposure for your work and also give you an opportunity to win awards, which can further help to build your company’s reputation.
- Set up a website. One of the easiest ways to reach out to your potential clients is by having a user-friendly website, with all the contact information, mission, and vision of the company. Post regularly and make sure your website is up to date.
- Social media platforms. You can create profiles on popular platforms online to increase your social media presence. Post regularly, and make your posts interesting and engaging in the process so that you can bring more traffic to your doorstep.
- Target specific markets or audiences. For example, if you specialize in wedding videography, you could promote your services to potential clients through wedding fairs or by advertising in wedding magazines.
- Word-of-mouth. This is also a great way to promote your production company. Make sure you’re delivering high-quality work that meets your clients’ expectations, so they’re likely to recommend you to others.
Bottom Line
Starting your own production company can be difficult at times, but once you get the hang of it, the only thing left for you to do is run what you’ve created. This article will help you win the first half of the battle, and staying on top of the game depends entirely on your leading skills. Good luck!
