🎬 ATOWN DOC // Recoupment Waterfall & Post-Release Maintenance

Simulate distribution commissions, debt recoupment, Net Proceeds splits, and annual C-Corp sunset thresholds.

1. Projected Gross Distribution & Sales Inflows
Projected Gross Revenue: $25,000
| $0 | $25k | $50k | $100k | $250k | $500k
2. Priority Recoupment Waterfall (Sequential Tiers)
3. Net Proceeds Allocation (Post-Recoupment Profit Split)
Total Available Net Proceeds: $0
🛹 Atown Park Community Fund 25%
$0
🎬 Director / Lead Filmmaker 45%
$0
💼 Producer(s) Pool 15%
$0
🎨 Key Creative / Impact Pool 10%
$0
🏛️ LLC Operating Reserve 5%
$0
4. Annual Entity Operating Floor & Dissolution Sunset Trigger
🏢 Annual Corporate Maintenance Floor:
• CA Minimum Franchise Tax: $800/yr
• CPA Form 1120/100 Tax Prep: $1,400/yr
• Registered Agent, Filing & Banking: $300/yr
Total Fixed Floor: $2,500/year
5. Direct Premiere & Merchandise Carve-Out (Prior to Recoupment)
🎟️ Local Premiere & Screening Tickets $5 from every ticket sold donated directly to Atown Park:
Tickets = $2,000 Direct Donation
👕 Film Merch & Commemorative Decks 50% net profit margin on apparel/decks donated to the park:
Gross Merch = $750 Direct Donation
6. Legal, Tax & Dissolution Guidelines
⚖️ Legal Definition of Net Proceeds
  • Strict Waterfall Definition: Defined in operating agreements as gross collections less platform/sales fees, recoupable distribution expenses, deferred debts, and investor equity.
  • Disbursement Schedule: Payouts issued semi-annually or quarterly alongside formal royalty statements.
🚪 How to Fold & Dissolve the C-Corp
  • Assign Receivables: Transfer long-tail distribution contracts and copyright from the C-Corp to your primary production company or personal Schedule C.
  • File Certificate of Dissolution: File Form DISS STK with the CA Secretary of State to terminate the $800/yr franchise tax liability.
  • Final Tax Return: Check the "Final Return" box on Form 1120/100 to close corporate accounts cleanly.