Launch Financing Secures $15 Million Credit Line to Expand Short-Term
Summary
The Beverly Hills lender, which has funded more than 60 media loans, will bridge tax credits, pre-sales and minimum guarantees in the US, Canada and the UK.
"Launch Financing, the film-lending arm of producer-financier Chris K. Daniels' The Launch Company, has secured a $15 million senior credit facility from specialty lender Pier Asset Management, Deadline reported on October 14. It is the company's first institutional warehouse facility and can be extended to $25 million over time. The money will expand Launch Financing's short-term production lending in the US, Canada and the UK.
The company makes senior secured loans of eight to 26 weeks against money a production is already due to receive, including government production incentives, distributor minimum guarantees, pre-sales, committed equity and library-backed corporate guarantees. Typical uses include bridging cash flow while a bank loan closes, cast escrow and union deposits, payroll and finishing funds. The company says diligence clears in two to five business days and funds wire within 48 hours of signing.
Launch Financing has funded more than 60 media loans to date, including on The Dutchman, Thumb and The Marshmallow Experiment. ""A production's money always comes slower than the production wants it to,"" Daniels said. The Launch Company also runs development, business-affairs and Toronto-based production operations."
