What is co-production? Why would you even consider looking outside of the US market for production companies to partner with? Today BLAKE & WANG P.A takes a closer look at the intricacies of co-production agreements, and why it may be worth considering one for your next project.
When they say ‘co-production’, what do they mean?
Co-production between production companies can cover a huge variety of ground. It can be as simple as, say, hiring a Canadian post-production house to do your editing. While a very limited relationship, it’s a type of co-production. There’s a huge amount of ‘informal’ co-production undertaken every day, and there’s really no geographical limit on who you work with-you can choose from companies based almost anywhere in the world.
There is, however, a difference between these ‘informal’ co-productions and an ‘official’ co-production.
Why would I consider an official co-production agreement?
When you form an official co-production with a foreign production company, you will have the chance to take advantage of some additional international incentives, tax credit schemes, and more. There will also be the matter of access to TV markets, and the opportunity to market in the country/countries of your co-producer as a ‘local production’.
This is dependent, however, on the treaties made between nations. Canada, for example, can be called the ‘king of co-production’…it has co-production treaties with more countries globally than any other. China has also been active in this market recently. Many EU countries have co-production treaties, and there are some EU-wide incentives available. Don’t assume, however, that just because a company is part of the EU it automatically has treaties with other EU countries, as this is not legislated. Rather contact the film commission in the country to determine your potential co-production partners.
The US lacks co-production opportunities
Oddly, the US is lagging when it comes to having these international treaties in place. It’s slightly baffling to see, as an entertainment lawyer. San Francisco, Los Angeles, and New York may bost film hubs unrivaled worldwide, but we don’t even have a treaty in place with Canada or Mexico, our immediate neighbors.
We do, however, have in place with China. The Chinese film market is currently thriving, and production companies have access to some things we only see at studio level-glassless 3D, VR, 3D technologies, and much, much more-is being found in wide use. Yet even then, our treaty is limited, and we can neither market US-made productions as ‘local’ in China or gain many film incentives through the treaty in place. Still, it’s a worthwhile market to explore.
Taking advantage of foreign co-productions
To truly take advantage of the opportunities of foreign co-productions, however, one needs access to other international co-production partners. It’s becoming common practice to find multi-part co-productions across 3 or more nations. As countries globally have moved to protect their national TV/ film industries, the preference is to support local production and incentivize those who support it in turn.
There are key opportunities to access foreign co-production incentives if you know where to look, and with one of the key entertainment law firms Los Angeles trusts on your side, BLAKE & WANG P.A is here to help you take full advantage of available international incentives. Don’t hesitate to reach out to us today.
As always, this is a complex area of entertainment law to approach, and you should always seek legal counsel specific to your situation before acting on anything you see in our advice columns.Top of Form
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