First-dollar gross is a practice in

filmmaking Filmmaking or film production is the process by which a Film, motion picture is produced. Filmmaking involves a number of complex and discrete stages, beginning with an initial story, idea, or commission. Production then continues through screen ...

in which a participant receives a percentage of the gross

box-office A box office or ticket office is a place where ticket (admission), tickets are sold to the public for admission to an event. Patrons may perform the transaction at a countertop, through a hole in a wall or window, or at a Wicket gate, wicket. ...

revenue In accounting, revenue is the total amount of income generated by the sale of product (business), goods and services related to the primary operations of a business. Commercial revenue may also be referred to as sales or as turnover. Some compan ...

, starting from a film's first day of

release Release may refer to: * Art release, the public distribution of an artistic production, such as a film, album, or song * Legal release, a legal instrument * News release, a communication directed at the news media * Release (ISUP), a code to i ...

. The participant begins sharing in the revenue from the first ticket sale, not waiting until the

film studio A film studio (also known as movie studio or simply studio) is a major entertainment company that makes films. Today, studios are mostly financing and distribution entities. In addition, they may have their own studio facility or facilities; how ...

turns a profit. It is a

film finance Film finance is an aspect of film production that occurs during the Filmmaking#Development, development stage prior to pre-production, and is concerned with determining the Valuation (finance), potential value of a proposed film. In the United ...

and distribution term used primarily in the

United States The United States of America (USA), also known as the United States (U.S.) or America, is a country primarily located in North America. It is a federal republic of 50 U.S. state, states and a federal capital district, Washington, D.C. The 48 ...

film industry The film industry or motion picture industry comprises the technological and commercial institutions of filmmaking, i.e., film production company, production companies, film studios, cinematography, animation, film production, screenwriting, pre- ...

. In

France France, officially the French Republic, is a country located primarily in Western Europe. Overseas France, Its overseas regions and territories include French Guiana in South America, Saint Pierre and Miquelon in the Atlantic Ocean#North Atlan ...

, as of September 2003, one condition for filmmakers to get government support is that money must be reimbursed on the first-dollar gross basis. First-dollar gross has become a rare arrangement, and compensation has increasingly shifted away from first-dollar gross to back-end compensation. Some contracts define "first dollar" as a net figure after certain expense deductions rather than a true distributor's gross.

Examples

If a film does well, a first-dollar gross arrangement can be very lucrative for the participant. Natalie Wood took 10 percent of the first-dollar gross on '' Bob & Carol & Ted & Alice'', which according to Freddie Fields earned her more money than she did on any other movie. Cameron Diaz negotiated first-dollar gross on '' Bad Teacher'', and netted $42 million.

Sandra Bullock Sandra Annette Bullock (; born July 26, 1964) is an American actress and film producer. The List of highest-paid film actors, highest-paid actress of 2010 and 2014, Sandra Bullock filmography, Bullock's filmography spans both comedy and drama, ...

made more from her 15 percent first-dollar gross deal on ''Gravity'' than from her upfront pay of $20 million. In his heyday,

Arnold Schwarzenegger Arnold Alois Schwarzenegger (born July30, 1947) is an Austrian and American actor, businessman, former politician, and former professional bodybuilder, known for his roles in high-profile action films. Governorship of Arnold Schwarzenegger, ...

received 25 percent first-dollar gross. When Warner Bros. thought '' Inception'' was a risky investment,

Leonardo DiCaprio Leonardo Wilhelm DiCaprio (; ; born November 11, 1974) is an American actor and film producer. Known for Leonardo DiCaprio filmography, his work in biographical and period films, he is the recipient of List of awards and nominations received ...

agreed to cut his then-usual $20 million salary to a minimal salary with a first-dollar gross to make the film, which eventually paid him $50 million. Tom Hanks and

Steven Spielberg Steven Allan Spielberg ( ; born December 18, 1946) is an American filmmaker. A major figure of the New Hollywood era and pioneer of the modern blockbuster, Spielberg is widely regarded as one of the greatest film directors of all time and is ...

shared a 40 percent first-dollar gross on ''

Saving Private Ryan ''Saving Private Ryan'' is a 1998 American epic war film directed by Steven Spielberg and written by Robert Rodat. Set in 1944 in Normandy, France, during World War II, it follows a group of soldiers, led by Captain John Miller ( Tom Hanks) ...

''. Some other filmmakers known to have made first-dollar gross deals are

Tyler Perry Tyler Perry (born Emmitt Perry Jr., September 13, 1969) is an American actor, filmmaker, and playwright. He is the creator and performer of Madea, Mabel "Madea" Simmons, a tough elderly woman, and also portrays her brother Joe Simmons and her ...

Eli Roth Eli Raphael Roth (born April 18, 1972) is an American film director, screenwriter, producer, and actor. As a director and producer, he is most closely associated with the horror genre, namely splatter films, having directed the films ''Cabin Fev ...

Clint Eastwood Clinton Eastwood Jr. (born May 31, 1930) is an American actor and film director. After achieving success in the Western (genre), Western TV series ''Rawhide (TV series), Rawhide'', Eastwood rose to international fame with his role as the "Ma ...

Quentin Tarantino Quentin Jerome Tarantino (; born March 27, 1963) is an American filmmaker, actor, and author. Quentin Tarantino filmography, His films are characterized by graphic violence, extended dialogue often featuring much profanity, and references to ...

, Christopher Nolan, actor

Tom Cruise Thomas Cruise Mapother IV (born July 3, 1962) is an American actor and film producer. Regarded as a Cinema of the United States, Hollywood icon, he has received List of awards and nominations received by Tom Cruise, various accolades, includ ...

, and film producer

Jason Blum Jason Ferus Blum (; born February 20, 1969) is an American producer. He is the founder and CEO of Blumhouse Productions, best known for horror franchises such as ''Paranormal Activity (film series), Paranormal Activity'' (2007–2021), ''Insidi ...

. Many actors had earned $100 million later, after an initial payment. For example, Tom Cruise was paid between $12–14 million for his performance in '' Top Gun: Maverick'', which was revised to over $100 million after his share of the film's box office gross.

References

Filmmaking Film finance Film production Film distribution Film and video terminology {{Film-term-stub

Examples

See also

References