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In some cases, we manage to minimize the design payment by deferring a portion of the payment, as I will describe below.
In this case, I will use a film/movie poster as an example, but other projects in other industries could apply to this just as well.
One of the arrangements/agreements we can work with for film/movie posters is a deferred agreement, which makes it possible for the screen writer or film producer to introduce their project to potential investors. In this way, the poster and other material needed such as a press kit can be obtained for the purpose of rising funding for the project. After the funding has been obtained for the project, the graphic artist/designer will end up being paid at fair market for the previous services rendered. The questions that I am most frequently asked are, "what sort of agreement can be arranged" and "how much will it cost?"
The answer to that depends upon a number of factors, such as the project's complexity or simplicity, if it is photo-based, if it needs photos taken or you have the photos needed, if it's illustrated or if it is illustrated based with photos. Other factors which may come into play could be how many revisions it may take until its finished, how many versions and sizes you may want of the poster along with base cost of test prints, transportation and other basics. After all these factors are evaluated, a quote can be reached or an agreement can be tailored to the cost.
There would be two possible fees; the first fee would be the lowest, which would enable you to market your film to investors to receive funding so you can create your film with the proper funding. The second fee would come after you received funding and/or start showing your movie for profit by way of screenings or DVD sales. The second fee would be applied after the funding or screening(s) occurs. The amount of the two fees would be equivalent to the fair market price (which can be found in the Graphic Artist Guilds guide book, "Graphic Artists Guild Handbook: Pricing & Ethical Guidelines.") So it would be in our best interest to make a poster, which would reflect and market your film/movie in the best way to bring investors your way. Therefore, you would be ensured that we would be putting quality work into your project to make this a win/win deal.
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