Completion Bond Process
Five stages from first contact to final delivery, typically two to three months before production, with monitoring throughout.
Getting a completion bond involves five stages, from first contact to delivery. The entire process typically takes two to three months before the start of production, and continues through to final delivery.
6–9 months
Start the process before production
2–3 months
Due diligence to bond issuance
1–2 weeks
Issuance once conditions met
Full lifecycle
Monitoring through delivery
Stage 1
Initial Approach
The producer, financier, or their broker contacts Intectus to discuss an upcoming production. At this stage we need a high-level understanding of the project.
Production type
Feature film, TV series, animation, or documentary
Approximate budget
Budget range and financing structure
Key creative team
Director, producer, and lead cast
Target start date
When principal photography is planned to begin
Financing status
What financing is in place or expected
What to Expect
A response within a few business days. If the project is clearly outside our parameters, we will say so immediately. If it looks promising, we move to due diligence.
Stage 2
Due Diligence
The most intensive phase. Our team, covering production, technology, legal, and financial disciplines, conducts a thorough review to answer one question: can this production realistically be completed on time, within budget, and to the agreed standard?
Script & Creative
Script analysis for production feasibility, assessment of technical complexity (VFX, stunts, locations, period settings), and evaluation of whether the schedule allows the script to be realised.
Budget
Line-by-line budget review, validation of costs against market rates, contingency adequacy assessment, identification of underestimated or missing costs, and cashflow analysis.
Schedule
Day-by-day schedule review against script requirements, identification of scheduling risks, post-production timeline assessment, and delivery deadline review.
Key Personnel
Track record assessment of the director, producer, line producer, and key department heads. Evaluation of experience for this specific type and scale of production.
Contracts & Legal
Review of financing agreements, distribution contracts, incentive documentation, co-production treaty compliance, chain of title verification, and outstanding legal issues.
Insurance
Confirmation that complementary coverage is in place: Film Production Indemnity terms, general liability, E&O coverage, and identification of any insurance gaps.
Due Diligence Output
The Due Diligence Report
Our findings are compiled into a comprehensive risk assessment that identifies:
Risks requiring resolution
Issues that must be addressed before the bond can be issued
Conditions for the production
Script changes, budget adjustments, or personnel requirements the production must meet
Risks requiring monitoring
Acceptable risks that need ongoing tracking during production
Overall viability assessment
A clear verdict on whether the production can be completed as planned
The Biggest Cause of Delays
Incomplete documentation. If the producer provides a full package of materials upfront, due diligence moves efficiently. If documents trickle in over weeks, the process stalls. Due diligence typically takes two to three months.
Stage 3
Underwriting and Issuance
Once due diligence is complete and all conditions have been met, the bond is underwritten and issued.
Conditions for Issuance
100% financing committed
All production financing confirmed and documented
Due diligence conditions met
All identified issues resolved
Insurance in place
Complementary coverage confirmed
Key contracts signed
Cast, director, and key crew committed
Budget and schedule approved
Approved by the guarantor
Cashflow plan confirmed
Financing drawdown schedule agreed
The Bond Agreement
A multi-party contract involving:
The guarantor
Munich RE through Lloyd's Syndicate 5306
The producers / production companies
Responsible for delivering the production
The financiers
Named as beneficiaries of the bond
The agreement sets out guarantor obligations, producer obligations, conditions, exclusions, intervention rights, and the terms under which the bond can be called.
All-Inclusive Premium
A one-time premium covering all services. There are no separate charges for due diligence, legal review, or monitoring. Contact us for pricing. Issuance takes one to two weeks once all conditions are met.
Stage 4
Production Monitoring
From the moment the bond is issued, Intectus monitors the production actively. Monitoring is not a formality. It is the mechanism that prevents problems from becoming crises.
Pre-Production
Tracking preparation milestones (casting, locations, vendors), reviewing changes to the approved budget or schedule, verifying financing drawdowns, monitoring insurance coverage.
Principal Photography
Daily call sheets and shooting reports, weekly cost reports and variance analysis, one to two on-set visits, regular status calls, continuous tracking of weather delays and schedule changes.
Post-Production
Tracking editorial, VFX, sound, and music milestones. Reviewing post-production cost reports, verifying delivery specifications can be met, monitoring delivery deadlines.
When Issues Arise
Graduated Intervention
If monitoring reveals a significant issue, such as a cost overrun, schedule delay, or key personnel departure, the guarantor engages with the production team. Intervention is graduated:
Discussion
Working with the production to find solutions
Formal Direction
Requiring specific actions to address the issue
Personnel Changes
Requiring replacement of individuals causing problems
Takeover
Assuming management of the production (last resort)
The goal at every stage is to complete the production. Takeover is exercised only when all other options have been exhausted.
Stage 5
Delivery and Discharge
The production is completed and all contractual deliverables are provided to the distributors and financiers. Once delivery is accepted, the bond is discharged.
Completed programme
The finished production in all agreed technical formats
Access materials
Textless backgrounds, music and effects tracks, dialogue lists
Publicity materials
Stills, electronic press kit, trailer
Legal documentation
Chain of title, E&O clearance, music licences
Financial documentation
Final cost statement, audit if required
What to Expect
Delivery can take time, particularly if there are multiple distributors in different territories with different technical requirements. The bond remains in effect until all deliveries are complete and formally accepted.
Common Questions
Frequently Asked Questions
Frequently Asked Questions
How early should I start the process?
Six to nine months before principal photography is ideal. This allows adequate time for due diligence without rushing. Compressed timelines are possible but may limit our ability to identify and address risks before production begins.
What is the most common reason for delays?
Incomplete documentation. If the producer provides a full package of materials upfront, due diligence moves efficiently. If documents trickle in over weeks, the process stalls.
Can the bond be issued if not all financing is confirmed?
No. One hundred percent of the production financing must be confirmed and committed before the bond can be issued. This is a non-negotiable requirement.
What happens if the production changes after the bond is issued?
Material changes to the script, budget, schedule, or key personnel must be approved by the guarantor. Minor adjustments within approved parameters do not require approval. The monitoring process is designed to track changes and assess their impact.
Are there any additional fees beyond the bond premium?
No. Due diligence, legal review, monitoring, and all other services are included. There are no additional fees.
Ready to Start?
The ideal time to begin is six to nine months before principal photography. Contact us to discuss your production.