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U6 Lesson 5
 

U6 Lesson 5

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    U6 Lesson 5 U6 Lesson 5 Presentation Transcript

    • Course Reps – Big News
      GS9-1: Robert Laird
      Deputy Rep: Matt McKirgan
      GS9-2: Peter Salt
      Deputy Rep: Cameron Foster
      GS9-3: David Correia
      Deputy Rep: Jessica May
    • MCM Expo – This Saturday
      • No signed RSVP – no trip!
      • Make sure you bring money
      • Coach leaves at 8am sharp!
    • Budapest Trip
      DEADLINE DAY!
      Got passport?
    • Induction Assignment
      • Marking Forecast
      • Classic Mistakes
      • Plagiarism
    • Understanding Funding and Finance
      19 October 2009
    • Aims & Objectives
      Aims
      To introduce you to the importance of planning and preparing for budgets and budgeting in game development
    • Aims & Objectives
      Objectives
      All students will be able to create 1 spreadsheet breaking down costing for a computer game development
      Most students will be able to identify 2 key areas of funding for games
      Some students will be able to present 3 sources of funding for a computer game
    • Why Am I Teaching This?
      • Next term you will be presenting a whole games pitch to a member of the games industry
      • You must understand the types of costings and funding involved in game development in order to work in the industry
      • You should be able to cost your own game at least twice over the 2 years
    • Funding Part I
    • Funding Part I
      You’ve got a good idea – NOW WHAT?
      Do you:
      Document your idea (this is called a business plan)
      Talk about it a lot – have a few pints and forget about it because it’s too hard
      Borrow money, do stuff and generally get cracking?
      If you answered a) – you rock!
    • Funding Part I
      What is a Business Plan?
      Activity: Put the following words in some order of what a business plan is....
    • Rationale
      Organisational Structure
      Management
      company biography
      Personal HISTORY
      Mission Statement
      Finance
      Business Strategy
      Potential income
      Potential spend
      Business category
    • Answers
      Business category
      Business Strategy
      Rationale
      Potential income
      company biography
      Potential spend
      Finance
      Mission Statement
      Personal HISTORY
      Management
      Organisational Structure
    • Why Bother?
      Funding can be obtained from a variety of sources, all of whom require a business plan
      Business Plan
      Loan
      Grant Funding
      Investor
    • The Loan
      Definition: a bank loan granted for the use of a business
      Source: wordnetweb.princeton.edu/perl/webwn
    • The Investor
      My favourite!
      Definition: Normally individuals looking to invest their own capital. Also known as White Knights or simply Private Investors
      Source: http://www.beerandyoung.com/glossary.php
    • Grant Funding
      Definition: any monetary aid
      Source: http://www.google.co.uk/search?hl=en&q=define%3A+grant+&meta=
    • Useful Sources of Funding or Information
      Business Link
      www.j4b.co.uk
      Our Library!
      EMDA
      EM Media (located in Antenna – Next Door)
    • Funding Part II
      What are tax breaks?
      Any provision of the tax code, such as a tax credit or tax deduction, that reduces the amount of tax that a firm or individual will pay.
      Source: www-personal.umich.edu/~alandear/glossary/t.html
    • Research
      Nearly 75 percent of gaming executives in the UK think that a tax credit would allow them to pursue more original IP.
      Source: TIGA
      Discuss what that means to you as potential designers/developers
    • Activity
      Discuss beneficial factors in making a game with tax credits (breaks)
      Time: 5-10 mins
    • Possible Answers
      • More money to spend on development!
      • More staff (and resources)
      • Potentially better distribution channels
    • Game Funding
      Activity: What costs should be taken into account when finding funding for a game?
      Time: 5-10 mins
    • Game Funding
      It’s hammer handout time!
    • Costing What You Need
      The list you made earlier carries cost. For instance:
    • Your Bungie Breakdown...
      Could look a bit like this:
    • 10 Most Expensive Video Game Budgets Ever
      1. GTA IV
      $100, 000, 000 (that’s $100m)
      $70, 000, 000
      2. Shenmue
      $70-100, 000, 000
      3. Too Human
      Source: http://blog.knowyourmoney.co.uk/index.php/2008/08/10-most-expensive-video-game-budgets-ever/
    • 10 Most Expensive Video Game Budgets Ever
      4. Metal Gear Solid 4
      $50-70, 000, 000
      5. Halo 3
      $60, 000, 000
      6. APB MMO
      $50, 000, 000
      Source: http://blog.knowyourmoney.co.uk/index.php/2008/08/10-most-expensive-video-game-budgets-ever/
    • 10 Most Expensive Video Game Budgets Ever
      $50,000,000
      7. Tom Clancy MMO
      8. Killzone2
      $40,000,000
      $40,000,000
      9. Final Fantasy XII
      10. Final Fantasy IX
      $40,000,000
      Source: http://blog.knowyourmoney.co.uk/index.php/2008/08/10-most-expensive-video-game-budgets-ever/
    • Overview
      • We’ve learned the point in planning and preparing business plans
      • We’ve discovered how we can get funding
      • We’ve looked at how big some of these budgets are!
    • Homework
      It’s tough going as slideshows go, but please read the Pop-Cap games presentation on my blog:
      Source: Google Images & Raiden Xavier