Housekeeping deal
Encyclopedia
A Housekeeping Deal is the practice of a film studio giving a producer
or leading actor
office space on the studio lot in return for the first right to distribute
all of his or her upcoming projects.
The business practice has evolved in recent years as a way to keep creative talent in house, reminiscent of the Hollywood Studio system
. Though industry players initially thought there would be a backlash to the practice, independent producers have embraced the system as a way to lower their overhead and increase the chances of getting their projects funded.
The studio can incur large costs from high profile housekeeping deals which have become less common during economic down turns. Many such vanity deals with name Hollywood actors have not generated returns for the studios, thus often an actor's production company is not renewed to stay on the lot after their specified contract is up.
Film producer
A film producer oversees and delivers a film project to all relevant parties while preserving the integrity, voice and vision of the film. They will also often take on some financial risk by using their own money, especially during the pre-production period, before a film is fully financed.The...
or leading actor
Actor
An actor is a person who acts in a dramatic production and who works in film, television, theatre, or radio in that capacity...
office space on the studio lot in return for the first right to distribute
Film distribution
The distribution of a film is the process through which a movie is made available to watch for an audience by a film distributor...
all of his or her upcoming projects.
The business practice has evolved in recent years as a way to keep creative talent in house, reminiscent of the Hollywood Studio system
Studio system
The studio system was a means of film production and distribution dominant in Hollywood from the early 1920s through the early 1960s. The term studio system refers to the practice of large motion picture studios producing movies primarily on their own filmmaking lots with creative personnel under...
. Though industry players initially thought there would be a backlash to the practice, independent producers have embraced the system as a way to lower their overhead and increase the chances of getting their projects funded.
The studio can incur large costs from high profile housekeeping deals which have become less common during economic down turns. Many such vanity deals with name Hollywood actors have not generated returns for the studios, thus often an actor's production company is not renewed to stay on the lot after their specified contract is up.