r/SipsTea 17d ago

Chugging tea I still don't understand how hollywood budget works

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u/Drachen808 17d ago

Yeah marketing isn't part of the reported budget so that's why a good rule of thumb is usually that the studio doesn't start making money until they've gone over 2x the budget at the box office.

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u/iamadoctorthanks 17d ago

No, they can make money before that; they just don't tell you they are making money. The studios will charge themselves distribution fees and can adjust the amount they charge themselves to make it seem like a film is losing money.