ASTOUND Salon: Accessing Private Investment by Numbers

SalonPic 1 - logo

Last night at the Spoke Club in Toronto, producers and content creators learned the importance of crunching the numbers and understanding analytics for attracting investment at this year’s second ASTOUND Salon.

Anne Marie Maduri, from Maduri & Associates, along with Debra McLaughlin of Strategic Inc., teamed up and laid out some tips for digital, film and TV producers looking to raise capital in today’s market.

IMG_3193

Three core questions that must be answered for investors are:

  • Why should they invest?
  • What is it exactly that they are investing in?
  • What is the expected return?

Without the answers to these questions, investors could quickly walk away from a deal. They don’t want to do your homework for you, they want you to come prepared with numbers in tow.

“What’s the profile of your target audience? Who is the target market? Investors want to know this,” Maduri said, as she outlined her core revenue equations.

But where all of this data comes from varies between mediums and also by market and contractual agreements. There really is no such thing as too much data when looking for investment.

IMG_3212

Some other key takeaways from the presentation:

  • If you are pitching a pilot, try to build into your contract with a broadcaster that you attain the broadcaster’s performance data report.
  • Broadcasters want to see a diverse revenue mix for TV content — not just one revenue stream. Think branded content, second screen, etc.
  • Use the large resources available to you, as well as smaller niche measurements to form an audience profile. The CRTC & CMPA have extensive data resources that are helpful in this regard.
  • Investors want to know what your market differentiator is, and they want to know that you are aware of all of your competition. To say that you have no competition is a major faux pas in raising capital.
  • For digital media properties, you have to think outside the box, develop a dialogue with the right investors and find ways to appeal to them, as they may not fully understand the market. “The investor’s children will likely know more about digital media than they do,” Maduri said.

IMG_3178

This Saturday, October 19, is the ASTOUND Summit. For more information on the day’s events and how you can participate, please visit www.astoundinitiative.ca.

The ASTOUND Initiative is led by CFC Media Lab in partnership with Hot Docs, and OCADU. ASTOUND is made possible through The Entertainment and Creative Cluster Partnerships Fund administered by the Ontario Media Development Corporation (OMDC) on behalf of the Ministry of Tourism, Culture, and Sport.