Film producers to benefit from offset loan
Government export credit agency Export Finance and Insurance Corporation (EFIC) and Screen Australia have developed a loan facility to help producers finance Australian film and television productions for export.
The Producer Offset loan complements the Federal Government’s Producer Offset incentive, which provides refundable tax rebates for producers of Australian feature films, television and other projects.
Designed for smaller producers that have difficulty attracting finance in the commercial market, “the loan can free up cash flow for a production and bridge the funding gap between when a production company incurs production costs and when it receives the Producer Offset through the taxation system,” explained Angus Armour, CEO and managing director of EFIC.
“Financing is often a challenge in the film industry, especially for smaller productions. Great Australian productions can often suffer when there is a gap in financial support. Screen Australia welcomes EFIC’s new Producer Offset loan as another financing option for Australian producers,” said Dr Ruth Harley, CEO of Screen Australia.
EFIC will lend up to 85 percent of the estimated Producer Offset, between $100,000 and $500,000, to eligible production companies that provide the required security, including a completion guarantee. To be eligible, the production must also have an international distribution agreement.
For full eligibility criteria visit www.efic.gov.au/producer_offset_loan
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