How to Payout for Cast, Crew, Equipment, etc.

We're going into production for a short film I've put together. The budget is ample; I'm lucky to have as much as I do. We've got quality people working on the project. We're shooting in just less than a month so we're starting to build sets and the rest.

As such, it's time to start dolling out the cash to my department heads. Mostly my production designer and wardrobe person at the moment. They've asked to receive the budget in the next few days and I was wondering if folks have any suggestions on allocating funds.

This isn't my first rodeo whatsoever. And in the past, I've usually drawn petty cash and demanded receipts. This has worked out pretty well in previous budget ranges, but I'm really not a huge fan of this tactic. Nor am I a fan of paying out crew by paying out the department head. As a producer/director, this seems to be a definite area to be a stickler on and to micromanage.

I want drawing funds for the film to be a defined process. That way, this discourages them from just making financial decisions without approval under the assumption that "we've got a good budget, and there's plenty to go around."

What I'd like to do is cut a check for the pre-approved budget of a given department (excluding paying crew). They work with this using the usual petty cash form and keeping receipts. Whatever is left over is submitted with their final paperwork. As far as paying crew, they must sign the necessary paperwork (wages, rights, liability, etc.) and will be paid out on an invoice basis through me.

Though I don't anticipate this system being a problem, I wanted to offer it up and see if anyone has other suggestions or better practices for accounting.

Thanks in advanced for your time!
 
There are so many ways this can be done, from your petty cash method all the way up to purchase orders and the accountant (or whoever has those duties) writes the checks.

You can set up bank accounts with credit card access.
They can ask on each purchase to have a check cut to present to the appropriate person.
For smaller purchases you can work on a rebate system where the individual picks up the tab from their own pocket and then submits for a petty cash refund.
You can issue a check book for each department head.
You could give them a wad of cash and demand receipts.
You could have them line up the supplier and you (or the accountant) calls/visits them with a credit card.

It also depends on your choice of suppliers on what they will accept and how trustworthy your dept heads are with OPM.
 
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