What is Independent Film (Technically)?

Mic
Jan 4
5 min read

HAPPY SUNDANCE SEASON!

What, you thought I was gonna say happy new year?

This is a film blog!!! 😤

For real though -- it is Sundance season, which is way more fun than New Year's Eve.

Every January, Sundance presents a line-up of some of the best independent narrative and documentary shorts, features, and episodic programs from around world!

Filmmakers bust their asses year after year for a chance to get their film into the #1 independent film festival

Because it's the top festival, the curation process is highly selective.

And if you've been to Sundance or seen films that have come out of it, especially in recent years, you know these are higher quality and often bigger budget than what most people picture when they think of independent film.

Just take a look at this (definitely not all-encompassing) list of successful indie movies

You probably didn't know most of those were independent (I didn't!)

Like, these are films with multi-million dollar budgets and A-list actors!

So what makes them independent?

Well, it's all kind of just a technicality.

The way people often classify indie film isn't fully accurate.

It's actually not the content, theme, genre, or budget of a film that determines if it's independent.

It's how that budget is secured, and when distribution is acquired.

Let's talk about it!

What is an independent film?

In its simplest terms: an independent film is a film that is made without fully secured funds and distribution.

The budget size does not matter.

The film's subject does not matter.

The attached talent does not matter.

An independent film can be made by anyone (or any entity), at any price range, and be about anything -- as long as funding and distribution isn't a guarantee when the film is being made.

Generally speaking, this means if a major studio or its subsidiaries (NBCUniversal, Warner Bros, Disney, Paramount, Sony) are attached to the film during the development / production stage, it is not independent.

This is because these studios are their own distributor -- they can release their films in theatres completely on their own.

So your next question may be: what about streamers?

Are movies made by Netflix independent films?

No -- because their platform is their form of distribution (AND they can release theatrically as their own distributor)

With that in mind, you may know that the biggest indie prodcos, A24 and NEON, also distribute films...

But they're still technically independent.

Why is that?

I mean, their companies have shareholders just like the major studios...

They work with large budgets and big talent just like the major studios...

And they distribute their own films just like the major studios...

But despite this, they are technically still independent because their companies are privately held.

Whereas companies like Warner Bros, NBCUniversal, Disney, Paramount, Netflix, Amazon, etc. have public shares.

So while A24 and NEON are certainly working with more money than most indie companies, the way they're securing the money is still the same as any indie filmmaker: through private funds.

This is why A24 films can premiere at film festivals, but Netflix and Universal films cannot.

Speaking of Netflix...

They sure do have a lot of indie films on their platform.

Ones that premiered in and were in competition at film festivals...

How did that happen?!

What is an independent film festival?

Independent film festivals are THE place for films to get distribution.

Companies like Netflix, Disney, and NBCUniversal attend these festivals on the hunt for films to purchase, distribute, and profit from.

Without festivals, most films that aren’t backed by a major studio or well-funded private company unfortunately never reach a wider audience.

This is the main reason independent festivals exist.

They make it easier for independent films to be seen by more people.

Festivals are also how indie films recoup their budget / pay back their investors, and earn some more profit for the filmmakers too.

When a film is purchased by a distribution company, investors / filmmakers earn cash upfront and a percentage of box office revenue.

Or, in the case of a streamer buy-out, they earn a large sum of cash in exchange for the exclusive right to stream the film on their platform for a certain amount of time.

Theatrical distribution is usually more attractive to investors and filmmakers alike because the amount of money earned back is based on the film's success in the box office.

Streamers don't share profits like this, because their business model is built on subscriptions.

This is why they offer a flat fee / buy-out.

Whether a film gets a billion streams or just one, the filmmakers earn the same amount of money upfront.

Whereas if a film does extremely well in theatres, investors often earn far more than what they initially invested.

All this talk about distribution leads directly into how festivals categorize films, and why it matters.

Most film festivals have two major overall categories:

Competition and Non-Competition

A film can have its world premiere in either category, but it's not necessary for Non-Competition, and is typically necessary for Competition.

Every festival is different, but this is generally how it works for the big ones.

But the key distinguishing factor for which category a film screens in is whether or not the film has distribution already.

If a film does have distribution, or is otherwise deemed "too big," it is often not eligible for Competition.

Despite this, it's still difficult for "true" indies (not backed by a large company like NEON or A24) to earn a spot in the top festivals.

The struggle (and hope!) for "true" indie filmmakers

The independent film festival system was built to level the playing field for indie filmmakers, but has become harder to break into because of these "technically indie" films.

In theory, any independently funded movie could get noticed, get distribution, and reach a wider audience at any festival.

But because of how “independent” film is defined, movies from huge prodcos now dominate the feature film side of these festivals, and indie filmmakers by most people's definition -- the ones filming on cheap rental cameras, editing in a basement, and crowdfunding their sub-$1m budget -- simply can't compete.

This is why you'll often see films from lesser-known filmmakers / companies relegated to late-night or limited screenings.

But wait!!!

Not all hope is lost for the filmmakers who haven't broken into the big leagues...

The short film competition is the real platform for "true" indie filmmakers.

You'll see shorts from students, first-time filmmakers, and very small prodcos in these competitions.

This is also typically where the larger indie companies (and agencies) scout for talent.

So a filmmaker could make a killer short film, get noticed by A24 or CAA, get repped by an agency and/or sign a deal with a prodco, and start making those big feature films that premiere at Sundance in no time!

There are also other ways to break in -- like the Sundance Feature Film Program.

Many scripts that make it to the lab get produced and eventually premiere at the festival!

Sundance offers various other fellowships and labs to support creatives who haven't had their big break yet. Check them out here!