Scorgie says there is a clog of content jamming up the gears of the film industry. Globally, more productions are being made than ever before, many of which are trying to sell to the same buyers — buyers like Universal Pictures, to whom Scorgie has sold back-to-back productions. What makes Scorgie’s films so valuable to titans like Universal and local broadcasters like Super Channel is how much cost he can mitigate, which increases how much profit they can make overall.
Scorgie explains that if he has a budget of $800,000 and follows the rules right, he’s got $400,000 coming back to him in tax credits. If he gets the right grants, he’s got even more covered. Then, to pay his team, pay himself, and make a profit, he only has to cover a tiny margin. This means big broadcasters can spend less and still give the same profits to studios. “When you do it the American way, they just go borrow a million dollars, and then they have to get a million dollars plus interest to break even,” says Scorgie. But Albertans can create value by mitigating costs with tax credits, giving us an edge over Hollywood. But it’s important to keep in mind that Alberta is now competing with a global film market trying to absorb some of the saturation bleeding out of film Meccas like Hollywood, New York and London. So guys like Scorgie still need to be tight on budgets and create commercial appeal.
In addition to what he calls the lifeblood of the Alberta film industry, Scorgie credits his successes to his overall strategy and ethos on filmmaking, which is both blue-collar and business savvy. “I do open budgets with my team,” he says, contrasting against Hollywood producers who often don’t disclose budgets. But this gets his team out of the dark and into a problem-solving workflow, which Scorgie says is something he looks for in collaborators.
Scorgie also capitalizes on the current “Golden Age of Documentaries” by producing high-quality projects at lower costs (thanks to digital technologies) than typical feature films. “When we do a doc, we always try to do something that already has a big built-in audience that is going to bring people there,” and his strategy pays off. Combining all these factors, from cost mitigation with credits/grants, open budgets, and a winning formula for driving interest, he ends up with a business model that simply works. At the end of the day, the folks at Score G Productions aren’t taking millions to the bank, and they aren’t buying mansions and supercars, but they are producing world-class films and making good livings for themselves and their families.