If you’ve ever Googled “film revenue waterfall example” and felt more confused than before — this is for you.
Most filmmakers don’t need a spreadsheet or a generator. They need to see what a real waterfall actually looks like.
Not a blog post.
Not a theory.
An exhibit that could plausibly be attached to an investor agreement.
That’s what this is.
What You’re Getting
This download includes three fully drafted, exhibit-level revenue waterfalls, written in the same structure and tone used in real independent film investor and operating agreements.
Each example is:
- written like a true legal exhibit
- intentionally not fill-in-the-blank
- annotated to highlight which terms are variable and commonly negotiated
Plus, a one-page intro memo that explains how to read and use them responsibly.
Included Exhibits
Exhibit A — Friends & Family (Recoupment Only)
A clean, relationship-protective structure where investors recoup their money first and do not participate in long-term backend.
Exhibit B — Indie Investor (Recoupment + Simple Backend)
A market-standard indie structure: 100% investor recoupment followed by a 50/50 net profits split, with real-world deductions, reserves, and audit mechanics.
Exhibit C — Producer-Led / Equity-Style Participation
An equity-driven structure where participants share profits from first dollar, with optional preferred returns and no guaranteed recoupment.
Why These Are Different
Most resources explain waterfalls conceptually. These show you how they are actually drafted.
Each exhibit:
- uses defined terms
- follows real priority sequencing
- includes off-the-top deductions, accounting mechanics, and protections
- flags variable deal points so you can see where negotiations usually happen
This is how lawyers teach structure — by showing the document.
What This Is (and Isn’t)
This is:
- an educational reference
- a structural guide
- a realism check before you talk to investors
This is not:
- a customizable contract
- legal advice
- a substitute for a negotiated agreement
The goal is clarity, not shortcuts.
Why It’s $5
Because this is about access, not gatekeeping.
You should be able to:
- understand how money flows
- spot red flags early
- ask better questions before deals get messy
without committing to a long questionnaire or expensive tools.
A Note from Thoolie
These examples are written by an entertainment attorney and reflect real-world indie deal structures — simplified where appropriate, but never watered down.
They’re designed to help you think clearly about money before it becomes emotional, political, or misunderstood.
Frequently Asked Questions
No. These are illustrative exhibit-level examples written in the same form and structure typically attached to investor agreements or operating agreements. They are designed for education and reference, not execution.
You can use them as a reference or model to understand structure and deal logic. If you plan to raise money or formalize terms, those terms should be documented in a properly drafted agreement tailored to your project.
Because revenue waterfalls are easy to misunderstand and expensive to get wrong. These examples are intentionally fixed so you can see what a complete, professionally drafted waterfall looks like before attempting to adapt one.
Each exhibit reflects a different financing philosophy:
Exhibit A: Capital recovery only (friends & family)
Exhibit B: Investor recoupment plus backend participation (most common indie model)
Exhibit C: Equity-style participation with shared risk and upside
Seeing them side by side makes the differences cle
Yes. In fact, misunderstandings around recoupment and backend are more common on low-budget projects. These examples help you avoid informal deals that create long-term confusion.
No. These are written to be readable, but realistic. Variable points are clearly flagged so you can focus on the terms that usually change — without needing to be an expert.
No. This resource is educational only. It is designed to help you ask better questions and recognize common structures, not replace individualized legal counsel.
These examples reflect current, commonly used indie structures. If significant industry norms change, Thoolie may update or expand educational materials in the Vault.
