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Hello all. I hope you can offer some advice! We currently operate a small theater in south texas that we purchased with the equipment in tact. However, we are considering expanding and opening a twin in a neighboring town. We will have to equip the facility with complete booth setups.

Are there options for financing projection/booth equipment? What are your thoughts on the pro's/con's of financing equipment. Also, I've seen a host of price ranges for new and used booth equipment in the forum and archives. Given the current market, how much should be budget per booth for new or used equipment? Many thanks!

Used (rebuilt) equipment should serve you well and save you a bundle. Most suppliers ask 50% up front and the balance within 30 days of installation. To finance otherwise try the local bank in the town where you are going to build.

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Bob Allen
The Old Showman

Thanks Bob. Good stuff. What are your thoughts on price range for used equipment, including full booth setup and sound package? I have seen ranges here from 10k to 50k per screen, which is a big discrepancy. Thanks again for sharing your ideas.

Regards -

Steve Johnson

$30,000 for used equipment, $50,000 and up for new equipment is a good range. Don't skimp on things like good lenses, lamps, reflectors, screens and stereo. The minimum today is Dolby SR in all the rooms. It's better to go Digital all the way. You don't want some punk kid telling you that his sound system is better in his bedroom.

Banks will not give you a loan for equipment. They don't understand the business and they wouldn't know what to do with the equipment if you defaulted. They will only give you a loan for something they understand or if you are a multinational business with some nebulous get rich thing like Enron. Get their attention and ask for a billion.

We leased our new seats. The leasing companies will put you though the same hoops as the banks will, but they actually are in the business of loaning companies money for equipment. Most equipment companies have worked with leasing so ask them. You need to go with a leasing company that has some knowledge of your industry. Restaurants lease kitchen equipment; Airlines lease planes, brewery's lease canning equipment, and Utilities lease power plants. It works.

leased seats?--I sure would not mind some information on who does that--might be a way to get one of my old houses re-seated.

There are several companies I believe that do leasing arrangement.
At Entertainment Equipment Corp we have reguarly delt with some

anyone have companys that lease seats?

If you don't get the answers you're looking for, check the trades (Boxoffice Mag... Film Journal, etc.) Leasing companies frequently run ads in these magazines.

Theatre supply companies should also have a list of good leasing outfits to check out. It's in their best interest to know who is most likely to loan out the money, so they should be a good source of info. When you call to check on equipment packages, ask them about leasing arrangements.

Somebody pick this one up... would a leasing company lend money on a used package? Seems to me they wouldn't... but then I don't know myself.

I was looking for information I received about leasing, and will probably find it after I write this--but, the company that handles financing in Ebay has lease-options avaiable, and when I was working with them on equipment for an ice cream/popcorn shop, they basically told me that any equipment can be handled thru them. They do not deal exclusively with Ebay. They were pleasant to deal with.