FilmHedge, a Black-owned film fintech startup based in Atlanta, has announced that it’s raised $2 million in its latest funding round.
According to Atlanta Inno, it was revealed that the $2 million will be used to grow the company — specifically, for hiring more people and to make their lending software available to film companies in the area.
The funding round was led by WOCstar Fund, a New York City-based investment company. FilmHedge CEO Jon Gosier said “friends and family” helped him fund the rest of the project.
Gosier said that he co-founded the company with Janelle Alexander and Mickey Vetter to democratize the film funding process. Film companies can get funding from the company at one of three stages: at the beginning (specifically, so they can hire a popular actor), toward the middle if they need extra cash due to circumstances beyond their control, or at the end if they need to do reshoots.
The company can provide fixed-interest loans of up to $1 million, or lines of credit of up to $5 million.
However, all film companies have one catch if they want their films to be funded by FilmHedge: they must have a letter of intent from a major company (like Netflix or Hulu) that states they will be buying the project once it’s finished.