Paragon Entertainment Corporation has secured a new line of feature film and television production financing worth up to $45 million which will, in part, be available to third party independent producers.

The credit line, initially split 75% to television projects, 25% feature films, is being provided by the Banque Nationale de Paris (Canada) and will be allocated through Paragon Financial Investments (PFI).

‘We can walk into a situation now and commit to a production, its financing and its distribution partners, without having to worry if the bank’s going to be there or not,’ says Richard Borchiver, president and COO of Paragon.

The credit line begins at $20 million and caps at $45 million. Financing will work on the same structure as Paragon Financial Investments which provides gap financing and/or guarantees against Canadian and foreign sales for tv projects and feature films. Paragon has always been able to finance or deficit finance its own projects in-house, ‘so I see this money more for independent production,’ says Borchiver.

What’s on the table, besides the new financing, is access to Paragon’s infrastructure which Borchiver says is invaluable to smaller indie filmmakers.

‘The banks don’t like to deal on an ad-hoc basis with a bunch of independents. Internally we can bring it through accounting, legal, get the financing and distribution in place so the producer, instead of tripping all over himself trying to put the pieces of the financing together, can actually go out and produce.’

Eligible projects for both film and tv run in the $1-million to $4-million budget range. In exchange for financing, Paragon is seeking distribution rights. ‘As always, it’s our preference but its not an absolute,’ says Borchiver.

The available support will be opened up to international projects, although ‘being based in Canada, that seems to be our best leg up.’

TV projects are in line for two-thirds of the new money at the onset, although Borchiver predicts that as Paragon moves deeper into international sales ‘the percentage allocations will even out real fast.’

Anticipated turnaround on projects financed through PFI is money in and out in 18 to 24 months.

PFI has just signed a six-picture deal with Frontline Entertainment, an L.A.-based production company. PFI is acting strictly as financier on the package which has a cumulative budget pushing $10 million.