The waterfall explained | David Zannoni

The recoupment schedule, also known as the waterfall outlines how a film’s revenues are distributed among producers, sales agents, financiers, unions, talent, and other back-end participants. A clear and accurately formulated waterfall is crucial for independent film productions, as it determines who gets paid, when, and how much, once the film starts earning revenues from international distribution. Preparing and managing waterfalls is at the core of what we do at Freeway: based on the waterfall, we allocate and disburse the revenues amongst the film’s stakeholders, to make sure that everyone receives their correct revenue share, on time.