Business Clinic: Film location offer – is there potential?

Whether it’s a legal, tax, insurance, management or land issue, Farmers Weekly’s Business Clinic experts can help.

Here, Lucinda Brooks, a partner in Carter Jonas’ estate management department, advises on how to approach an offer from a film company wanting to use a farmhouse as one of its locations.

See also: Business Clinic: how do we negotiate with solar developer for access across our land? 

Q: We’ve been approached by a production company wanting to use our farmhouse as a location for some filming.

We feel that, because we are near the M25, that this could potentially be something we look to as a source of regular income.

What can we do to capitalise on this first opportunity and make it a regular part of our business?

A:  As the film and television industry continues to expand, opportunities for rural estates and farms to provide property or land as filming locations grow just as quickly.

From global streaming giants such as Netflix, Amazon and Disney to small independent film-makers, the scale, budget and expectations of production companies varies hugely.

The size of projects differs vastly, from full feature films to an advert or a piece of promotional material.

Sometimes a location might only be needed for half a day, but bigger projects may need to create a set that could be required for several weeks.

Understanding the value of each project, and tailoring your approach accordingly, is crucial. This is where professional representation can make a significant difference.

Quick decisions, short notice

Location scouts make decisions very quickly and often need to find properties or locations with very little notice.

To stand a chance of securing a booking, landowners must be ready to respond quickly and facilitate viewings at short notice.

If a production chooses your property, it is vital to understand both the value of what you are offering and the budget the production is likely to have.

You will need to pitch your price accordingly because there are no set rates for projects such as these.

A formal licence agreement is essential as it will set out what a production company can and cannot do and ensures that all the appropriate insurances and protections are in place while they’re on your property.

The agreement also clearly stipulates the responsibilities of the parties.

It will ensure that the film company takes responsibility for putting in place appropriate risk assessments and is responsible for health and safety liabilities or associated risks as a consequence of its operations or negligence while working on your property.

Payment up front

Being paid up front before any equipment arrives on site is essential.

Clear provisions for extension fees should also be included in the agreement so that both parties understand what happens if filming over-runs.

Don’t take the possibility of disruption too lightly. A generous fee may sound tempting, but safeguards are essential while the film crew has access to your house and land.

The agreement should specify conditions for any aesthetic alterations to buildings or interiors, and for any land use that might affect livestock movements or other farm operations.

In some cases, crews may temporarily occupy two to three acres for hardstanding, parking or set construction. In these instances, detailed restoration requirements are essential.

Consider longer term too

Finally, be mindful of your short- to medium-term intentions for your property or land.

If you’re planning to sell part or all of your estate in the near future or envisage passing it on to family, any filming commitments and the associated impacts must be factored into your decision-making.

Seeking expert advice is recommended, as rapid negotiation and clear understanding of the market are essential in such a fast-paced environment.

It’s worth ensuring that whoever provides the advice is experienced in understanding the health and safety requirements of film sets and the associated risk assessments that are requested.

Professionals can include oversight of these aspects and attend to check on operations as needed, depending on the scale and complexity.

Do you have a question for the panel? Outline your legal, tax, finance, insurance or farm management question in no more than 350 words and Farmers Weekly will put it to a member of the panel. Please give as much information as possible. Email your question to FW-Businessclinic@markallengroup.com using the subject line “Business Clinic”.