Introducing TFC’s new fiscal sponsorship program
The Film Collaborative recently started a fiscal sponsorship program to help filmmakers get access to funds they would not be able to obtain without 501c(3) status. The program is now fully up and running, headed by Lynnette Gryseels, former Fiscal Sponsorship Director at Film Arts Foundation in San Francisco. We have been getting lots of questions from interested filmmakers so here are the answers to many of them. There is also a lot of information available on our website.
What is fiscal sponsorship and how does it benefit artists?
Fiscal Sponsorship is used primarily when a non-profit film/video project or event wants to secure funding from private, foundation, government or corporate sources that give only to nonprofit organizations with IRS tax-exempt status. To be considered exempt, an organization must hold a current 501(c)(3) certificate from the IRS.
What are the benefits to the filmmaker that they couldn’t do on their own?
Many funding opportunities are not available without tax exempt 501(c)(3) status
What does TFC look for in projects to grant fiscal representation?
Projects must be consistent with the Film Collaborative’s charitable purposes. This means that any project you are proposing must be noncommercial and represent an imaginative contribution to the film or video art form. Project can NOT be a “work for hire.” Once that criteria is met, we look for projects that are well thought out and have a good chance of getting funding and being completed. Prior filmmaking experience is helpful or if you are new, it helps to have a production team of experienced people; an advisory board with experience mentors is helpful as well and will help make up for a lack of experience with new filmmakers. A polished proposal is essential. Send us your best effort following the directions and if your project looks promising, we will help guide you to develop your proposal further.
If I apply, am I guaranteed to get accepted?
No. The Film Collaborative is not obliged to supply fiscal sponsorship. We will sponsor projects that are in alignment with the TFC mission and have strong, fundable applications. When we agree to become your fiscal sponsor, we are allowing you to use the TFC name to show support for your film. Therefore, we will only approve a project when the proposal is ready to be submitted to funders.
Is it only for US citizens or those operating within the US?
You do not need to live in the United States or be a citizen to apply for fiscal sponsorship. As long as one of your project’s named project directors has Social Security Number (SSN), Employer Identification Number (EIN), Independent Taxpayer Identification Number (ITIN) or other type of IRS registration. See the IRS for more information on obtaining the correct tax registration for non-residents.
Does one have to be a member of TFC to apply?
Yes. Applicants need to be a TFC member at the minimum Contributor level. See http://www.thefilmcollaborative.org/join.html to sign up.
How does one qualify?
To qualify, you must have
-A film project; documentary, narrative or short in any stage of production;
-You must join the Film Collaborative at the Contributor level or higher;
-Your project must be consistent with the Film Collaborative charitable purposes, is noncommercial and/or educational and represents an imaginative contribution to the film or video art form;
-The project may not be “work for hire”;
-You must be seeking donations in the form of grants from public agencies, foundations, corporations, or individual donors including fundraising benefits.
What is the submission process?
1. Join The Film Collaborative;
2. Pay the $35 fiscal sponsorship application fee;
3. Fill out and submit the online application form, and upload a PDF of your project proposal.
The application you submit to the Film Collaborative will also serve as a blueprint that you will use to secure funding by applying for grants or present to prospective contributors. Our goal is to help you build the best possible proposal in order to go forward and successfully raise the necessary funds to realize your project. Therefore, we accept projects with proposals that are ready to go.
What is the submission deadline?
There are no submission deadlines. Applications are open.
After I receive backing from TFC, what happens?
Once accepted, we will send you a copy of the Fiscal Sponsorship contract, a W9 form, a welcome package which includes a fiscal sponsorship support letter, tax ID number, a copy of your signed contract and information on how to set up online donations. Donors to your project can contribute online using a credit card or write checks to the Film Collaborative. Donations will be disbursed at the end of each month.
Once your project is accepted you can now apply for funds from public agencies, foundations, corporations, or individual donors. TFC will provide you with the necessary documentation to show that your project is fiscally sponsored.
Can I apply to the NEA, NEH, NSF or other government agencies?
The Film Collaborative cannot submit applications on filmmakers’ behalf to the National Endowment for the Arts (NEA), National Endowment for the Humanities (NEH) and National Science Foundation (NSF). Ask us about all other government agencies.
What are the administrative fees involved and what do they pay for?
Applicants must join the TFC and pay a $35 non-refundable application fee. After that TFC takes 5% of funds donated to your project. These fees pay for overhead such as staff time processing applications and donations.
Is there a reporting process?
Yes. You must report to TFC twice a year on all funds received for your project, monies spent and any significant budget changes. Failure to comply with the reporting process will result in project termination.
Does TFC provide advice on contacting donors and soliciting funding?
We can provide some advice and answer questions. You are responsible for applying for your own funds and sourcing your own donors.
Is there a difference between this service and others like Fractured Atlas?
Yes. TFC only sponsors film projects, Fractured Atlas sponsors many other types of projects in addition to film. The 5% TFC fee is the lowest of any known film project fiscal sponsor.
How long does the fiscal sponsorship stay active?
Your fiscal sponsorship will remain active as long as your reports to the TFC are up to date and you are still working on your film. Projects that fall behind on reports will be terminated and will require a fee to reinstate. Any funds donated to a dormant or terminated project cannot be dispersed until the project reporting is brought up to date.
Is the TFC fiscal sponsorship program exclusive?
Yes and no. Your project can have another fiscal sponsor that is not a film project fiscal sponsor, for example, a community organization or something related to your project is fine.
Can name changes or change of control happen under the sponsorship?
Yes, on a case by case basis, depending on the change required. Please ask.
Can I change my project or have more than one project entered into the program?
Depending on the nature of the change it may be considered a new project. Multiple projects by one filmmaker are possible.
What is your background with fiscal sponsorship/grant funding applications?
The TFC fiscal sponsorship program is headed by the former director of fiscal sponsorship at the Film Arts Foundation in San Francisco. We are used to reviewing proposals, have relationships with funders and can advise you on creating an attractive funding application.
Lynnette Gryseels
Lynnette is passionate about film and helping filmmakers tell thought-provoking stories that entertain, assist social change and support their filmmaking aspirations. She has over 15 years experience working with independent filmmakers, non-profit film organizations and several local and international film festivals. She has previously assisted filmmakers in learning their craft through educational program development and project development support. At Film Arts Foundation in San Francisco Lynnette headed the Fiscal Sponsorship and Grants Program, one of the oldest fiscal sponsorship programs in the country. She brings a depth of knowledge from this experience to her role as head of TFC’s fiscal sponsorship program.
Orly Ravid July 3rd, 2012
Posted In: fiscal sponsorship
Tags: 501c3, charitable contribution, documentary, donors, financial reporting, fiscal sponsorship, Fractured Atlas, grants, independent film, Lynnette Gryseels, non profit, noncommercial, private funding, tax exempt, The Film Collaborative
Top 5 Ways to Fail at Crowdfunding
This post originally ran on Sheri Candler Marketing and Publicity’s blog
I am prompted to write this post because I have been hit up many times lately about supporting, advising or donating to various crowdfunding initiatives. Don’t get me wrong, it isn’t quite a complaint because I have been known to support many campaigns by doing any one of these things (ask anyone else offering their advice if they have done any of these things by the way, the answer could surprise you). I do get frustrated by the ones who contact me because they have embarked without thinking through the strategy or they are very close to the time limit and very far from their goal. I thought it might be helpful to list out some ways to fail in this endeavor so you can be sure to avoid these mistakes.
1) You do not already a have a support network online. This is a biggie. I know you’re thinking Sheri, how can I already have an audience and supporters of my work when I haven’t raised the money yet to do my work? Do you have a personal identity built up? Does anyone actually know who you are yet? There are many ways to do this, starting with sharing your knowledge and experiences with people and championing others as much or more than you do yourself. This identity building takes time and should be started well in advance of asking for favors. If you don’t have a strong support network of friends, colleagues and people who enjoy the work you do, do not introduce yourself and your project by asking for money.
2) Your goal is unrealistic. At the moment, the highest amount I personally have seen raised is $30K. That was for a feature and mostly used on principal photography. Most of the other projects I have seen find success are raising under $10K. Crowdfunding is meant to get your project started, get your project finished or be used for something clearly defined like a festival run or your own screening tour. It is not going to be your only source of financing for your feature film. In time, as your audience grows, this could change for you. Unless you have the base of fans mentioned in #1, try raising $5k and see how you do.
3) You do not know who your audience is. In addition to that base of supporters, you will also need to reach those most interested in the kind of story you are telling. Many filmmakers just keep their campaigns limited to targeting other filmmakers. Folks, I don’t know any filmmakers NOT looking for money to fund their projects. While they may love and support you, you must venture out of that pool to find alternate sources for donation. I was asked whether I felt that crowfunding had reached its peak yet. Hardly! Ask any average joe on the street what crowdfunding is and you’ll get a blank stare. These are the guys you need to hit up, the ones who aren”t completely burned out by being bombarded by appeals and who might enjoy what you are doing.
4) Your campaign length is too long. Kickstarter has advised that the most successful campaigns are the shortest. Why? Because you and everyone else you know gets exhausted fundraising for 90 days. The campaign starts off strong (you hope) but somewhere around the 30 day mark it wanes big time! The momentum stalls, people get tired of shilling for you, you get tired of shilling too. Set the goal for 30 days maximum and work it nonstop during that time. Hint: that doesn’t mean your only communication is donation appeals. A reminder or two a day will suffice. The rest of the time, tell us about what you have planned for the project, comment on other conversations, share some useful links. Don’t be a complete pest!
5) Just offer tshirts and DVDs as perks. Nothing meaningful or imaginative. While I usually do not donate based on the perks, but on how well I know the people and how much I believe they can carry off the project, many people are all about the perks. If you are offering the same run of the mill stuff that can be purchased way cheaper at Walmart than at your minimum donation level, you need to think from the greedy donor perspective. I can get tshirts for $5 and a DVD of a film I have actually heard of far cheaper than a donation at the $50 mark. Get creative on what you can give donors that they will actually like, need, and most importantly, talk about. Are you a great cook? Can you do cool magic tricks? Are you a poet (I’m looking at you John Trigonis)? What can you offer your donors that is special to them and won’t cost you much if any money to manufacture?
Anyone else have some mistakes to add? Advice from those in the trenches is always appreciated.
Sheri Candler is an inbound marketing strategist who helps independent filmmakers build identities for themselves and their films. Through the use of online tools such as social networking, podcasts, blogs, online media publications and radio, she assists filmmakers in building an engaged and robust online community for their work that can be used to monetize effectively.
She can be found online at www.shericandler.com, on Twitter @shericandler and on Facebook at Sheri Candler Marketing and Publicity.
Orly Ravid October 12th, 2010
Posted In: crowdfunding, Uncategorized
Tags: audience building, crowdfunding, donors, DVD, fundraising, Kickstarter, support network