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A distribution statement arrives four years after the film's premiere. The streaming revenue has fallen from €41,200 to €9,800 in a single quarter. Nothing has been cancelled. Nobody has said a word.
The producer opens the sales agency agreement and finds the audit clause - the one everyone initials between termination and governing law. The audit costs €13,500. It recovers €100,200. The agent pays for the audit.
Chapter 14 walks through exactly how, and what to put in your own agreements before you sign.
Inside this chapter
- The Aperture case study - how a buried sub-licensing clause cut a platform rate by 76%, and how the audit got it back
- The four elements every audit clause needs: scope, lookback window, cost-recovery threshold and interest on underpayments
- The twice-yearly internal review that catches a revenue drop before it compounds
- The long-tail reporting schedule - and when your obligations to investors actually end
From Walk In Ready - The Indie Filmmaker's Finance Playbook
Fourteen chapters covering the full financial arc of an independent production - from the first script read to the final investor report. Real figures and worked examples across Australia, the United Kingdom, the United States and Ireland, with four editable templates and a 269-entry glossary.
General information only - not legal or financial advice. Seek qualified advice before initiating any audit.
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