The experts further discussed the present scenario and highlighted the do's & dont's for proper financial management of Bengali film production, at an event organized by the Institute of Chartered Accountants of India (ICAI), here.
Managing Director of Priya Entertainments Private Limited, Arijit Dutta said, "Tollywood film industry was disorganized few years back."
"Ideal case of reduction in tax increases and helps to bring at least 95 percent of transparency in the film industry," Dutta said.
He added, "There was a time when filmmaker used to make films with their own money. But now it has got corporate. Producers are coming forward for investment in film industry."
"Nowadays 60 to 62 percent films are made by one or two time producers, who only want fame, the banner's name," Dutta said.
He noted, "Producers generally do not have any future plans for post productions. Lack of planning and cash flow is an issue of restrain for growth of the film industry. Pre production planning is necessary part for a smooth shooting."
Dutta asserted, "Cost planning, cash flow planning is an important part of a production. Control of finance has to be very strict. Then enlarge quantity of cash nowadays is a big problem. The producer must have the pre knowledge of total cost."
Ranjeet Agarwal, chairman of ICAI (East) said, "What Tollywood lacks is transparency at every level whether its production or distribution or money spent in making films and its recovery. We need trade analysts and trade guides more than ever and this is where proper financial managers like us can come to help."
Speaking of finance Dutta said, "Producer must know the recovery process of finance. Recovery through ringtone, theaters, satellite channels, piracy should be stopped. Chartered Accountants should be consulted for a proper financial planning. It will help in the growth of film industry."
Tollywood film director Arnab Riingo Banerjee said, "Time is changing rapidly, time is pacing out, some people are raising money, some are loosing money."
Riingo said, "First, one has to understand the market, then media planning and media budget. Planning needs to be done before for a proper production."
He said, "Marketing is everything for a film. The producer has to keep money for it. Design a project strategy in such a way so that producer could recover the money."
He added, "Average producer is a huge problem. For this reason taking an expert Chartered Accountant's advice is good."
"Tollywood industry most importantly needs a practice of financial discipline," he noted.
He further said, "Chartered Accountants need to come with proper knowledge of finance, i.e., where to spend money, how to spend money and business of film. Moreover, the CA needs to investigate and check out before working. Finances and distribution are an important part of industry."
--IBNS (Posted on 31-12-2013)