What Is My Film & TV Production Company Worth?

Film and TV production companies are high-value businesses, especially in Los Angeles where studio relationships and industry access create significant competitive moats. Valuations vary widely depending on whether the company owns content, has active series commitments, or operates primarily as a service production house.

Typical Valuation Ranges

Most production companies sell for 3x to 5x SDE. Companies with owned content libraries or active series orders can trade significantly higher.

Factors that push toward the higher end:

• Owned content library generating residual and licensing revenue
• Active series commitments or multi-picture deals
• Established studio and network relationships
• Revenue above $3M with consistent year-over-year production
• Diversified revenue (theatrical, streaming, branded content)
• Producer deals or first-look agreements in place
• Development slate with packaged projects

Factors that push toward the lower end:

• Pure service production (no owned content)
• Revenue concentrated in a single client or project
• Key-person dependency on founder/showrunner
• Inconsistent year-to-year revenue
• No active development pipeline
• Heavy reliance on non-scripted or lower-margin content

Key Value Drivers

Content library is often the single largest value driver. Owned IP generating streaming residuals, international licensing, and syndication revenue creates durable cash flows that buyers pay a premium for.

Studio and network relationships take years to build and are difficult to replicate. First-look deals, output agreements, and preferred vendor status represent significant intangible value.

Development pipeline — a strong slate of projects in various stages of development signals future revenue potential. Packaged projects with attached talent are worth more than concepts alone.

Recurring series revenue from active series orders provides predictable cash flow, as opposed to the feast-or-famine cycle of feature film production.

How to Increase Your Value

1. Build your library. Negotiate ownership or co-ownership stakes in content you produce rather than taking only production fees.
2. Diversify revenue streams. Add branded content, commercial production, or international co-productions to reduce reliance on any single buyer.
3. Reduce key-person risk. Develop producing relationships across multiple team members so deals aren't dependent on one person.
4. Secure development deals. First-look or overall deals with studios/streamers signal market confidence and provide revenue stability.
5. Document everything. Clean chain-of-title, organized contracts, and clear IP ownership records make due diligence smoother.

Browse the valuation multiples guide for industry data, or schedule a free call for a confidential valuation.