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Hello! My name is Nancy Adler and on behalf of Expert Village, today I'm going to tell
you how to operate a cinema, a movie cinema. Day to day costs can be challenging. If you're
thinking of opening a cinema, it may look very glamorous and there's tons of money rolling
in. Well it's not always that way. I have proof of that. When you book a film, you have
to pay the distributor a certain amount of money, usually in advance. At the end of the
film, they take a percentage of the gross receipts. You have to send them a box office
report and you have to live up to the agreed percentage. It can often be quite high, so
concession is very important to the business. You really want to generate popcorn sales
because that's probably where most of the profit is. Out of costs are of course, your
booking agent, your delivery, your advertising, your electric, your heat. Of course, in this
day in age, heat is very high, especially in an old building like this. It's a lot of
fun and it's very interesting. You meet wonderful people, but I don't think you're going to
get rich.