FilmHedge, an Atlanta-based financial technology startup, raised $2 million to triple its team and released its lending software for movie and TV production companies.
WOCstar Fund, a by New York-based early-stage investment firm, led the oversubscribed round with participation from friends and family, according to CEO and founder Jon Gosier.
The startup spent the last year in stealth mode while the team built out the lending software, which is now live — meaning production companies can go to the site and apply for a loan.
FilmHedge provides fixed-interest loans of up to $1 million and lines of credit up to $5 million to help finance movie and TV productions. Gosier, a whose spent his career in technology and in film production, founded FilmHedge because of the inefficiencies in financing media projects.
Unlike the startup ecosystem, Gosier said there’s no network of venture capital firms willing to invest in movies and shows. Instead, production companies must solicit funding from family and friends, which often turns into a long and complicated process, he said.