Exploiting Hollywood 1980.

Chapter 721 How much money do I have?
"How much money do I have now?"

"If we don't calculate the future earnings fold line of several of your films, it is roughly like this. Your assets are mainly stocks and two real estates in Manhattan and Staten Island, New York.

Your income is mainly the director's salary for movies and commercials.And the share obtained from participating in film investment. "

With his own investment, the idea of ​​producing and releasing "Dirty Dancing", Ronald quickly called his accountant, Lawrence Wang, from New York to Los Angeles.

Lawrence spread out the accounting books and introduced Ronald's income over the past two years.

"After the night of the comet, your income began to increase year by year.

The director's remuneration plus the first box office share of Breakdance is 110 million US dollars.Afterwards, Cannon took over the domestic distribution, and the share you got was reduced a lot, and finally it was close to 75 US dollars.

You took a total of $190 million from this movie, the most profitable of all your projects.

For the first film of Longwei Boy, the director was paid 40 yuan.Because you did not participate in the investment of the project, the proportion of the director's share is not high. One year after the release, and you will be filming the second Longwei Boy, the share will enter your account one after another, and now you have more than 30 US dollars.

The remuneration of the directors of Top Gun and Long Wei Kid for the second part are 50 and 60 respectively, for a total of 110 million US dollars.The box office should exceed that of the first movie of Longwei Boys, and you will get more share income starting next year. It is estimated that the total share in the future will not exceed 100 million.

In addition, including the several MVs you shot, commercials, and Debbie Reynolds' aerobics for the elderly, the income of these scattered directors is not low, with more than 50.

Add in your proceeds from selling the leg warmer company, and you get close to 80.00% of it to you.In addition to the books over the years, the remaining dividends of old movies, and the dividends of songwriters, etc., the scattered income adds up.

From 650 to the present, in more than two years, your total income is... [-] million US dollars. Lawrence pointed to the final gross income column and showed it to Ronald.

"Each blockbuster movie earns about 100 million US dollars, except for the low-cost movie Breakdance that I participated in the investment, which is more." Ronald is very satisfied with his director's achievements.

In fact, Ronald has made great contributions to several films. If Weintraub hadn't filmed Long Wei Kid for him, he would not have become a well-known talent in the industry, and he would also be in charge of MGM.

That's especially true of Minahan, but it wasn't Breakdancing that cost less than $100 million to make, and Cannonball might have gone down the drain.Not to mention the issuance of $[-] million in junk bonds on Wall Street.

Coupled with the astonishing box office figures, the two producers wanted to secretly increase costs, smooth out profits, and give Ronald a little less motivation.With a box office of hundreds of millions, about half of the income will be slowly returned to the distribution company after one year.

Then the producer gets half of it, which is also a gross profit of 3000 to 500 million. Falsely reporting the cost of 1000 million and [-] million has little effect on the profit points allocated to Ronald. Nader filmed the sequel movie, and the two simply stopped doing big things.

"It's just that the tax is too high." Ronald looked at the figure in the income column, and after the tax deduction, it instantly shrank to less than 500 million.

"This is only after the current President passed the tax cut bill in [-], you can enjoy a relatively low stepped tax rate. He raised the threshold for the highest federal income tax, and the maximum tax rate was greatly reduced. Only then can you stay in such a many."

Lawrence pointed to the tax rate table before the tax cut, roughly calculated the following, and showed it to Ronald.The highest income tax rate of the former Grand Commander was 70%, which was reduced to 50% by the current Grand Commander in [-].

If the income tax income of the former commander-in-chief is still implemented, and Ronald pays taxes according to the regulations, only about 300 million of these incomes will be left.

"No wonder no one in Hollywood wanted to make movies in the 70s." Looking at this figure, Ronald immediately understood why few people made commercial films in the 70s.The salary for a commercial film is 100 million, and the salary for a literary film is 50. After paying taxes, the stars get almost the same money, so who wants to make commercial films?

"Then my stock dividend is not bad?" Ronald's own daily expenses are mainly drawn from the stock dividend account.Never had a problem.

"Of course, tax payments over the years have been deducted. Since [-], your income has been mainly invested in Coca-Cola stocks.

While dividends are paid four times a year, the stock price is still slowly increasing.The previous two dividends this year were extraordinarily generous. In March, they could receive a dividend of [-] cents per share, and this time in June, it was also announced that it was more than [-] cents. "

"This dividend is really generous, and I was right to buy this kind of blue chip stock." Ronald felt elated.

"Not only is the dividend generous, but the stock price is also very good. At the beginning of 53, it was $62 per share. At the end of the year, it had risen to 84. By the end of 105, it had risen to [-]. In the second quarter that just passed, it had risen to [-]."

"Not bad, not bad", Ronald was very satisfied with the stock he had chosen.

Sure enough, while Pepsi was desperately advertising, it also steadily did not expand the scale of advertising, did not cut prices for promotions, and its market share was still stable and rivaled that of Pepsi.This stock is indeed stable.

This increase has already recovered all the federal income tax and state income tax paid, and it is a little more.

"How much tax will I have to pay if I sell it all?"

"The Coca-Cola, McDonald's and other stocks you have held for more than one year are long-term securities investments. This part of the income enjoys a long-term capital income tax rate, which is much lower than the highest tax rate of 50% on general income. So you can probably get To about 700 million in cash."

"This money is still not enough." Ronald scratched his head.

The production cost of "Dirty Dancing" has been calculated as low as possible, at least 450 million US dollars.Add about as much distribution costs.

This is the result of repeatedly reducing the distribution budget.Ronald is all counting on the word-of-mouth of the film to play a role. In addition to using the relationship of a few old friends to do some free publicity, there is almost no media cost in advance.

Except for the cost of copying and printing, almost all other money is listed on the marketing materials on-site at the movie theater.

"We still have to find Douglas Jr. for sponsorship." Ronald scratched his head.

"You need more production costs, I can follow up one by one."

A high school classmate and a good friend of the third generation of the wrestling team, Douglas Jr. came to Los Angeles. When he heard that Ronald was short of money, he immediately proposed to fill the gap.

"Aren't you going to ask me what movie I'm going to make?"

"Isn't it a musical?" Little Douglas picked up the script and looked at it, "Oh, Dirty Dancing, I like the name, and I want to go to the cinema to see it, what's so hot about this dance. "

Ronald said in his heart that you know the goods, the name of this movie is indeed very good, and it is very valuable. "The budget for production is about 450 million, and it is best to list 600 to 200 million for distribution. We still have a reserve of 600 million, and I can probably take out [-] million..."

"600 million? I can't get it out." Douglas Jr. was surprised when he heard this number.This was much higher than the amount he expected to invest. It turned out that he thought that a production fee of 300 million would be enough.

"Why can't you get it out? Didn't you say that you can match my investment amount? I thought what you said was true..." Ronald thought to himself, did Douglas Jr. say big things in front of him before.

"I used to be able to withdraw 50 yuan from the family fund every year, and I still have an investment quota of 50 yuan. After investing in Breakdance with you, my return is very good. Grandpa also raised my authority, and now I can use 500 million yuan. investment amount.

But I have also invested in other projects before, and now I only have about 300 million quota left. Adding my own investment return, there can be 500 million.Then go to the bank for a mortgage loan for the rest, and it should be no problem to get it together. "

"That's it..." Ronald said oh, the Hansen family has a big business, but they also have many descendants.In the past few years, the cash I can use has been more than that of the authentic old money kid like Little Doug.

"Why do you want to publish it yourself? If you can find a distributor, we can take the distribution contract and go to the bank to mortgage the loan, so that we can spend more money on production, and we don't have to take such risks."

Douglas Jr. was very puzzled, why he had to pay all the money to make a movie, and finding a distribution company could save expensive distribution costs and the trouble of getting money back.You can also take the issuance contract and go to the bank for a loan. In an instant, the cash flow pressure of the project is only one-third of the original one.

"Hey, you don't know. Today's Hollywood is very subtle about Jewish stories, and I can't help it." Ronald told Douglas Jr. about the problems he encountered.

"Ronald, although you are a genius, I still want to advise you that this kind of investment is too risky. It is difficult to predict the box office of the movie. You also said that there are plots that Jews don't like in the script. What about inexplicable boycotts? Will you be at great risk?

Think of your Aunt Karen, think of your cousin Donna.If you really like this movie so much, you can also take a long-term plan and continue to find a major studio that is willing to distribute it.

Business is always like this, sometimes it works, sometimes it doesn't.Don't push too hard.

Of course, if you must make this movie, if you want to make it now, I will also invest. "

"Thank you," Ronald patted Faxiao on the shoulder, and the two embraced like they were on the high school wrestling team.

"Why?" Ronald asked, looking at Douglas Jr.

"I'm optimistic about you, Ronnie. Even if this movie loses money, what's the point? You will remember me, and you will bring me to any profitable projects in the future." Little Doug knew that he was asking why he knew it was risky and still to follow up.

"I'll think about it carefully, and I won't make you lose money anyway." Ronald was moved.

He put the script away and put it in a drawer.

Indeed, is it too risky for me to invest all my net worth and drag my good friend's money?
　There is a small problem with the computer today, and it took a lot of time to solve it. The second update will be very late. You can look at it tomorrow
　
(End of this chapter)