To develop a plan for producing two films with a target of achieving a 50% increase in Annual Recurring Revenue (ARR). We measure and take from a several key factors into account, including:
- Film production costs: Determine the overall production expenses for each film. This includes costs for talent, equipment rentals, location fees, and other associated expenditures. The production budget ranges from $250,000 to not exceeding $5 million.
- Revenue projections: Evaluate the potential earnings for each film by taking into account different sources of revenue, including the initial release of A/B testing raw clips on social media, preliminary line art, and later box office sales, streaming rights, merchandise, and licensing deals.
- ARR growth: Aiming for a 25% to 50% yearly growth in annual recurring revenue, the second year's revenue from both films must outdo the first year's by at least 25% to 50%.
- Investor returns: Assess the anticipated returns for investors, including the return on investment (ROI) and possible exit strategies.