It’s risk mitigation, creatives get less upfront, which lets the thing get made for less, so the people paying upfront risk less money on the unknown and are therefore more willing to fund less reliable products. But if it turns out to be a hit, then everyone gets paid more accordingly. It’s kind of like companies paying stock.
It’s risk mitigation, creatives get less upfront, which lets the thing get made for less, so the people paying upfront risk less money on the unknown and are therefore more willing to fund less reliable products. But if it turns out to be a hit, then everyone gets paid more accordingly. It’s kind of like companies paying stock.