How to make profitable videos for nonprofit organizations
When people think of nonprofit video production, they usually think of low budgets. They wouldn’t be wrong in that thinking, as most don’t have big budgets. But that said, there is still money to be made. Over the past 10 years, we’ve had the privilege to work with several nonprofits including the Boys and Girls Club and Pajaro Valley Shelter Services. Not only were these shoots profitable, but they gave us a chance to give back to the community and make a big difference for these organizations. In this article, we’ll show you how to make profitable videos for nonprofit organizations.
Before we dive in, let’s define what a non-profit is! These organizations are operating “not primarily to make a profit”. Meaning their primary purpose is something for the better good of society. Think charities, shelters, churches or other organizations making a social difference in the community. The most common type of non-profit is a 501(c)3. Think YMCA, American Cancer Society, Society of Leukemia and Lymphoma, Red Cross etc. All of these are potential clients when it comes to nonprofit video production. We’ll walk you through how to budget, potential tax incentives, goodwill as well as potential referrals.
Budgetting
Camera
Our best suggestion when trying to determining how to make profitable videos for nonprofit organizations is to be smart about your budgeting for a project. This means that even if their budget is low, you may have to approach these projects differently than others. Maybe you shouldn’t rent that super expensive camera, or hire a 2nd AC. Could you DP also listen to audio? While there are obvious trade-offs to crew wearing multiple, hats, on these projects it’s obvious that you can’t have all the luxuries usually afforded with larger productions. Set your budget early on and stick to it. Remember story is king! If you can tell an emotional story with a Sony A7siii or a dry story with a Alexa Mini, it’s probably a tough choice.
Crew
Perhaps the client has told you that they have 7k max for the project. How much profit margin are you trying to keep for your video production, including pre-production, production, or post-production. Perhaps you are looking for 30% margin plus a day rate for yourself with a slight discount since it is nonprofit work. Maybe that leaves you with $4000 to put back into the production. How can you maximize this number? First, let’s assume we are shooting a testimonial and not a commercial. This means, likely it’s a genuine story from real people, and not hiring actors. This will significantly cut down on acting costs. Likely locations will also be free since you’ll be highlighting the organization’s real location!
Therefore this 4k can go to cover crew, rental, and post-production costs. Maybe you can wear two hats and just get away with a DP and a PA/grip. This combo can likely cost you less or equal to $2000 so you’ve got another $1000 for a BASIC camera package and a light or two and $1000 for post-production. While definitely a slim budget, there is still quality to be had. Perhaps the DP already has a camera you can rent for a reasonable, or they have some lights they can throw in? While we like to pay crew full rates, sometimes they can be a little flexible with their rate or rentals if they know it’s for a nonprofit. Just be sure to give them their full rate on future projects, as it can go a long way in the industry!
Post Production
So now you’ve got $1000 for post-production. Likely this will go to an editor or a colorist to put the final polish on the production. Depending on the number of revisions this could take anywhere from a few days to over a week! Definitely not the budget we’d like to post-production, but maybe you can upsell some additional cut downs, down the line.
Tax Incentives
This section can get a little tricky, depends on your tax situation. Given their budget is likely less than you would typically quote for the project, you might be able to get a form donating part of your services as a charitable donation. This portion of the project is tricky because it involves extra steps at tax time. We’ve also heard stories of companies getting challenged about the amounts they put for these donation values. Be diligent to put real numbers here based on actual costs but be realistic about all the unpaid time you put into the preproduction. This is one of our biggest tips on how to profitable videos for nonprofit organizations!
Goodwill
The next section talks about goodwill. As citizens of the planet, we have an obligation to do better for the community and our planet. That means, making films that will make a difference really help make this happen. Yes, it is your job, but every once and again these videos can really make you smile and help those in need. If this was a corporation and they were haggling you, that’s a tough pill to swallow, but frankly, if this is a legitimate non-profit, likely their budget truly is very small!
Referrals
The last section has to do with referrals. You never know where one job could take you. Do a good job and you’ll likely be back for another video. Do a great job, and you’ll likely be doing video production for other companies as well. Likely viewers will see it and be curious who made it. Or perhaps the person you are working with, has a spouse in a for profit organization! You never know who you might meet through someone else. Over the years, we’ve found networking in the industry can go a long way! Whether its with other crew we might be able to hire in the future, or other potential clients who we know through new friends!
Hopefully this article gave you a good idea of how to produce videos for nonprofit organizations! It really doesn’t have to be that hard. Just scale down the production and you’ll be off to the races. Last but not least, don’t forget to have fun while making these videos. Likely you choose to do this project instead of the sheer profit margin calling your name!
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