Who loses money if a movie flops?

As movie-making is a huge business in the world. After spending huge amounts of money in the movie-making business, producers expect a high return on their investments (which is majorly profit). But, have you ever imagined who loses all the money if a movie flops. Read below to know complete details on the same.

Producers and the distributors

Yes, you read that right! It’s the movie producers and distributors, who lose all the money that they invest if the movie flops or when the movie doesn’t show the desired results after the theatrical release or the digital release of the movie project. When a movie flops or fails to perform well at the box office, these two people (producer and distributor) bear the brunt of the blame, while the actors (all actors, including male and female leads, supporting casts, etc.) and the rest of the film’s crew (director, assistant director, music director, lyricist, director of photography, etc.) bear the least of the blame.

So, in order to invest a large sum of money, one either be extremely wealthy or have high confidence in the actor, filmmaker, or narrative. Whether he stays wealthy or not is determined by the outcome of the film! The role of the distributor is to purchase the completed film from the producer and sell it to theatres for public viewing. If the movie flops at the box office, the profits are split between the producers and distributors. These two crew members will lose their money if the movie fails!

Hope you have got the answer to your query.

Also Read: Do actors still get paid for old movies?

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