First-dollar gross is a practice infilmmaking in which a participant receives a percentage of the grossbox-officerevenue, starting from a film's first day ofrelease.[1][2] The participant begins sharing in the revenue from the first ticket sale, not waiting until thefilm studio turns a profit.[3] It is afilm finance anddistribution term used primarily in theUnited Statesfilm industry.[4] InFrance, as of September 2003, one condition for filmmakers to getgovernment support is that money must be reimbursed on the first-dollar gross basis.[5] First-dollar gross has become a rare arrangement,[6][7] and compensation has increasingly shifted away from first-dollar gross to back-end compensation.[8] Some contracts define "first dollar" as a net figure after certain expense deductions rather than a true distributor's gross.[9]
ForInception,DiCaprio chose to forgo his normal rate in favor of first-dollar gross.[10]
If a film does well, a first-dollar gross arrangement can be very lucrative for the participant.[11]Natalie Wood took 10 percent of the first-dollar gross onBob & Carol & Ted & Alice, which according toFreddie Fields earned her more money than she did on any other movie.[12]Cameron Diaz negotiated first-dollar gross onBad Teacher, and netted $42 million.[13]Sandra Bullock made more from her 15 percent first-dollar gross deal onGravity than from her upfront pay of $20 million.[14] In his heyday,Arnold Schwarzenegger received 25 percent first-dollar gross.[15]