There has been a lot of excitement among game makers about the possibility of joining in on the fun. It should come as no surprise that individual game developers, as well as game development organizations, have been interested in increasing their production levels as the value of the global video game market is projected to expand to $256.97 billion by the year 2025.
Developing, on the other hand, is neither simple nor inexpensive. Even games with a more manageable scope require a significant investment in both time and focus, not to mention the labor of a large number of individuals, each of whom brings a unique set of experiences and perspectives to the table. The cash for these fees is going to need to come from somewhere, but happily, there is a wide variety of different possibilities accessible. In this section, we will take a look at some of the several paths that can be taken if you are interested in obtaining funding for your video game.
Stay away from fundraising for as long as you possibly can
It’s important to emphasize right from the bat that it’s always preferable to put off needing to look for funds for as long as you possibly can. There are a lot of different reasons why many indie video games start off being made on a shoestring budget, but one of the main reasons is to avoid the complications of attempting to secure funding. The reality is that despite the fact that all methods of financing have positive aspects, such as providing access to the necessary funds to develop the game, these methods also all have negative aspects.
It is necessary to get as much finished without money as you can in order to have the best potential chance of receiving the funding that you need for the rest of the game. This can be accomplished by completing as much as you can without funding. As we explore the various ways in which you might be able to finance your game, we will notice that every potential source of revenue entails some kind of operational “cost.”
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A publisher taking the conventional approach
Working with a publisher is the first and most evident step in the process of obtaining finance. Some publishers only collaborate with certain game production studios, while others are happy to take on the work of independent producers and publish their games. Video game publishers are companies that specialize in bringing computer games to market.
Publishers of video games have extensive sector-specific expertise and are able to offer you the financial resources necessary to finish developing the game. They also come with the benefit of having appropriate marketing knowledge and resources already at their disposal. There is also a significant amount of allegiance that games have to certain publishers; consequently, this might build hype for your game.
Working with a publisher typically leads to giving up at least some level of creative control, which is one of the drawbacks of the arrangement. It is also possible for the process of launching the game as a whole to become far more time-consuming, with many distinct hurdles that need to be overcome.
Fundraising efforts as well as equity
Crowdfunding and selling stock in the game together with its intellectual rights are two other methods that are becoming increasingly popular among video game producers as viable options for obtaining money. Crowdfunding with platforms such as Kickstarter is the preferred choice for many designers. However, despite the fact that this method has the potential to earn you all of the money you require without any drawbacks, it can also be relatively time-consuming to run and manage. Furthermore, in spite of the numerous well-known success stories, three times as many video games on Kickstarter are unable to receive funding as those that are successful in doing so. There is also the possibility of selling one’s equity in the game. There are certain crowdfunding projects that, rather than delivering the benefit of being able to play the game, offer backers a part of the revenue made by the game.
Reductions in tax burdens and grants
There are many other significant options. Some video game makers, for instance, find that obtaining a tax exemption that is supported by the government is an essential strategy for bringing down the overall cost of production. R&D tax specialists Cooden Tax Consulting state that in order for a video game to be eligible for Video Games Tax Relief, it must meet the following criteria: the game must be certified as British by the British Film Institute; it must be intended to be supplied to the general public; and it must have at least 25 percent of its expenditures on designing, producing, and testing the game provided within the European Economic Area. If all of these conditions are met, the game will be eligible. Consider looking into some of the several grant providers that have been established to assist smaller developers in acquiring the cash they need to construct their games. This is an additional option that is available to you. The United Kingdom Games Fund is among the most well-known of these.
Conclusions and musings
There is a wide variety of choices available to developers in terms of how to finance their video game projects, and making sure you pick the proper one for your particular endeavor can determine whether or not it is successful. As a result of this, it is always a good idea to seek the assistance of specialists who have previous experience obtaining funding for projects that are comparable to the one you are working on.