Government-sponsored Taiwan Creative Content Agency (TAICCA) has disclosed it will establish a development fund for incubating cultural content creation projects.
With initial capital of NT$100 million, the development fund aims to incubate more than 100 cultural content creation projects and will introduce a market-oriented mechanism to match creators with domestic and international investors or business partners.
There is sufficient energy for creating cultural content in Taiwan, but the environment for a supporting industry is not mature, said TAICCA chairwoman Celest Ting.
Content creators have difficulties securing subsidies, and relatively unknown creators can hardly attract investors, Ting said, citing some of the problems facing content creators.
Taiwan's cultural content creation industry faces three main challenges: intellectual property output is insufficient; types of IP are not diverse enough; difficulties in accessing financial support and international channels, Ting noted, adding TAICCA's fund is meant address such problems and challenges.
TAICCA recently cooperated with crowdfunding consultant Backer-Founder to invest in Angelic-Founder, Backer-Founder's affiliate engaged in RBF (revenue-based financing) investment in cultural content creation businesses.
RBF has return on investment coming from ticket sales revenues (such as those for concerts), software sales, and movie royalty fees, according to Backer-Founder CEO Lin Ta-han. RBF investment, unlike venture capital investment, features quick return on investment to facilitate circular use of investment capital, as well as no intervention in the creation process, Lin noted. Through TAICCA's investment, Angelic-Founder aims to invest in 60 pieces of cultural content creation in five years.
