Financing cameras is crucial for filmmakers and video producers at various stages of their career. However, many are unaware of unique financing options available for highend cinema cameras like those from Red Digital Cinema.
This article aims to shed light on some littleknown secrets behind Red camera financing and strategies that can help you fund your next production.
Why Invest in a Red Camera?
Red cameras are considered the gold standard for cinemalevel filmmaking. Some key benefits of investing in a Red camera include
- High Dynamic Range (HDR) and Wide Color Gamut for stunning imagery
- Modular design for customization and futureproofing
- High resolution up to 8K for flexibility in postproduction
- Global shutter to eliminate rolling shutter effects
- Interchangeable lens mounts for using various lenses
- Robust codec options for efficient storage and editing
However, these professionalgrade cameras can be quite expensive, ranging from $5,000 for entrylevel models to $50,000+ for topoftheline configurations. Fortunately, there are alternative financing methods one can explore.
What Are Equipment Financing Options
One straightforward way to finance Red cameras and other production gear is by applying for equipment financing through various lenders. Some reputed options to consider include:
AssetBased Lending
Assetbased loans utilize production gear as collateral, allowing you to borrow a percentage of their value at competitive interest rates. Lenders inspect and appraise your equipment to determine eligible loan amounts. Repayment terms range from 15 years.
Equipment Leasing
Equipment leasing treats cameras and gear as leased assets rather than purchased items. You make monthly payments over 14 years with no down payment. Ownership transfers once the lease term ends. Leasing may offer tax advantages over outright purchases.
TradeIn Programs
Some equipment dealers offer tradein value for older gear that can be applied towards new purchases. You may receive 4060% of used value in store credit to lower outofpocket costs. Just ensure items are in good working condition.
Do thorough research, compare multiple financing quotes, and read all terms carefully before committing. Having good credit certainly helps secure more favorable rates and terms.
The Secret Behind Red FlexFinancing
While the above traditional options work well, Red Digital Cinema offers its own unique “FlexFinancing” program exclusively for Red cameras one of the best kept secrets in the industry. Here are some key details:
- No Down Payment or Credit Checks
Unlike typical loans, FlexFinancing requires zero down payment and does not pull credit reports. This makes it more accessible for new filmmakers.
- Low Monthly Payment Structure
Payments are structured affordably over 35 years to fit modest budgets. Monthly installments are calculated based solely on camera configuration without factoring in other costs like interest.
- Purchase Option at End of Term
At the end of your payment term, you have the choice to either return the camera or exercise the purchase option at just 10% of initial value. This ensures you never overpay in the long run.
- Full Warranty Coverage
Red provides a standard 1year warranty on new cameras purchased under FlexFinancing. Extended warranties are also available for additional years of coverage.
- Flexible Qualification Process
You only need to prove creditworthiness through valid identification, income documentation and a basic application process far more lenient than conventional loans.
The FlexFinancing program is arguably the most favorable option available for Red camera funding thanks to its flexible terms tailored specifically for filmmakers’ needs.
Additional Fundraising Strategies
While the above options can cover a major portion of camera costs, additional funds may still be required for accessories, memory cards, rigs etc. I’ll outline some grassroots fundraising strategies that can bridge financing gaps:
Crowdfunding Campaigns
Launching a campaign on Kickstarter, Indiegogo or a dedicated film crowdfunding site allows fans and donors to support your project in exchange for perks. Video proofofconcepts boost credibility.
Equipment Rentals
Renting gear shortterm from local camera houses while saving up can be more affordable than leases. Explore membership rental programs too.
Collaborations and Sponsorships
Partner with production houses willing to cofinance in exchange for credit. Local businesses may sponsor in exchange for marketing placements in films.
Gear Reselling
Sell used items on platforms like eBay, Adorama used, KEH, B&H used to generate additional funds.
Conclusion
As you can see, there are clever strategies available to help you acquire the finest filmmaking tools without breaking the bank.
Do thorough research, create a solid business plan, and leverage various financing options creatively. With perseverance and smart planning, your dreams of cinemaquality storytelling can be fulfilled even on a tight budget. Now get out there and start creating
Thanks for reading.
Frequently Asked Questions
How much is the most expensive red camera?
The most expensive RED camera is the RED RANGER MONSTRO, with a starting price of $59,950 for the body only.
How long does it take to get approved for Red FlexFinancing?
The FlexFinancing approval process is very streamlined and usually takes only 12 business days once you submit your application.
Red aims for a quick turnaround so filmmakers can start shooting their projects without delays.
Is the purchase option at the end of FlexFinancing mandatory?
No, exercising the purchase option is completely optional. If your production needs have changed after the term ends, you can simply return the camera with no obligations. The purchase option just ensures you never overpay through installment plans.
I hope this article provided valuable insights into financing professional cinema cameras like those from Red Digital Cinema. Please feel free to share any other questions in the comments below.
