Build the distribution schedule investors actually ask to see
A waterfall is the document that tells everyone with money in your film exactly when, and in what order, they get paid. It’s where recoupment, premiums, and profit splits live, and it’s near the top of what any investor or financier asks to see before they commit.
This generator builds a complete, professional Exhibit B Revenue Waterfall Schedule from a handful of simple questions, in the structure film finance actually uses. You don’t draft anything. You answer what varies from deal to deal, your project and company name, the net profit split, the distribution threshold, and the reserve, and the generator produces the full schedule, ready to attach.
It’s built to attach as the Exhibit B that our Enhanced Operating Agreement is wired to carry, and it works just as well with the Basic agreement or any operating agreement designed to hold a waterfall. Whether you have one investor or many, it references your Participation Schedule for names, amounts, and recoupment multiples, so the same schedule scales to your deal.
If you want to learn more about film revenue waterfalls, read: How Film Revenue Waterfalls Work: A Real Example for Indie Producers
What Filmmakers Get Wrong About Waterfalls
The most common mistake is handing an investor a vague promise instead of a real schedule. “You’ll get your money back plus a premium, then we’ll split profits” is not a waterfall. Investors want the actual order of priority, in writing, and its absence signals inexperience.
Another error is putting net profit participants in the wrong place. Promise someone “1% of net” from the wrong pool and you can quietly give away double what you intended, and take it out of the investors’ share, contradicting your own investor deal. This generator structures participation from the members’ share by default, protecting the investors’ agreed split.
Producers also forget the tiers that come before anyone sees profit: approved deductions off the top, senior financing, company loans, and deferred compensation. Skip them and your projections are fiction. Every tier is here, including a senior financing position kept in place so the structure already supports a future bank loan or bond.
And many waterfalls can’t stand on their own, missing the definitions, tax credit and pre-sale application, and collection routing that make them defensible. This one is complete, so it reads cleanly and attaches directly to your agreement.
Ready to build the schedule investors ask to see?
Thoolie’s Revenue Waterfall Generator builds a complete, professional Exhibit B, every tier, full definitions, investor-safe participation structure, from a few simple questions. Attach it to your Basic or Enhanced Operating Agreement. $[price]. Instant download.
Why This Matters
A properly built waterfall:
- gives investors the payment-priority schedule they ask for before committing
- protects the investors’ agreed split by structuring participation from the members’ share
- accounts for every tier that comes before profit (deductions, senior financing, loans, deferrals)
- is built to support future bank debt or a completion bond, even if you have none today
- stands on its own with full definitions, tax credit and pre-sale routing, and reserve terms
This isn’t a formality. It’s the difference between a producer who looks ready and one who doesn’t.
FAQ
It’s the schedule that defines the order in which a film’s revenue is paid out: what comes off the top, who recoups first, and how remaining profit is split. It’s a core document in film finance.
No. It attaches to the Basic or Enhanced agreement, or any operating agreement built to carry an Exhibit B. The Enhanced agreement is specifically wired to reference it throughout, but the generator works with either.
Nothing. You answer a few questions (project and company name, profit split, threshold, reserve) and the generator produces the full schedule. Everything else is professional stock language.
Yes. It references your Participation Schedule for individual investor names, contributions, and recoupment multiples, so the same waterfall works whether you have one investor or many, including investors on different terms.
No. It’s an educational document template. Every waterfall should be reviewed by a licensed entertainment attorney before you rely on it or present it to investors.
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