Terminology

What Are Film Rentals?

What Are Film Rentals?

This term can be confusing as it has nothing to do with renting movies. This is portion of the box office revenue paid by the theatres to the distributor. This is not to be confused with the distribution fee. A film rental is paid AFTER the distribution fee has been paid. This percentage will vary depending on the deal that is made for a particular film. Generally speaking, box office revenue is split 50/50 between the theatres and studios, however there are cases where the studio will receive a higher percentage on the opening weekend, or the first week of release. Some deals, the percentage varies each week where the first 2-3 weeks the distributor will get a higher percentage, but each subsequent week their cut will decrease and the exhibitor's portion will increase.