Come up with a name that defines the kind of movies you want to create and the kind of company image you want to promote. Trademark that name using the Trademark Electronic Application System, which will cost around $500.
Go to your local Secretary of State's office to pick up forms to become a limited liability company (LLC). The process does not take long, though it may cost a few hundred dollars. This is essential to protect your personal assets in case of any legal battles.
Find or create a script that you want to produce for your company.
Create a second LLC with the name of the movie you will be producing. Once again, this will cost a few hundred dollars.
Create a business plan and a private placement memorandum (PPM). Local nonprofits like SCORE can help with the business plan and a lawyer can draft the PPM. While SCORE's services are free to entrepreneurs, a PPM can cost $10,000 or more. The PPM is the all-important document that protects you in case your film is not profitable. You present the PPM to your potential investors to disclose all possible risks of the project. When the investors read it and sign off on it, they cannot sue you if the film is a financial failure. Ideally, you might find a family friend or someone who owes you a favor to get the PPM for less money (or perhaps in trade for a service), but without the PPM, you may incur a much larger bill after the filming.
Begin assembling your staff. The pre-production stage of filmmaking requires a large staff, so in the beginning, you will need to find people who will work for free or a percentage of potential profits. Your best bets are recent film-school grads, friends who want to do something fun on the side, or assistant department leaders who are interested in running their own departments. You will not actually have to pay many staff members upfront. The exceptions may be a line producer and a director of photography who will have to work with you long before the movie begins. This will cost you between no money at all and several thousand dollars.
Find potential investors through friends, family, and business connections, and begin pitching your movie idea to them. You have a much better chance of selling your idea if you already have money to begin with. Consider putting "skin in the game" by being your own first investor. This step may take several years. Always ask for a little more money than you need for contingency, as many unexpected expenses will pop up day-to-day during filming and in the editing room. Shooting a full-length film using digital, with an unpaid cast and a low-paid crew, will require an investment of at least $50,000 to upwards of several hundred thousand dollars.
Start pre-production once you have raised the money. Begin casting, location scouting, setting up an office, and building up your production staff. When you start your company, you will be renting most of your equipment or hiring people who have their own equipment, so do not worry about purchasing equipment at this time.
Film the movie and edit it.
Set up a large premiere at a local movie theater with $10 to $50 tickets, depending on what kind of food and alcohol you are able to provide for an after-party. This is a great way to raise extra money for any reediting that is needed or for submission fees to festivals. Though there are many ways to spread the knowledge of your film online, what an in-person viewing does is show your investors, friends, and anybody else who comes that you are capable of completing a real movie worthy of an actual theater. This can lead to trust and future investment.
Begin pitching the film to festivals and local theaters. Send press releases to the local papers and attempt to get as much coverage as possible.
Rest for as long as is needed and then go into pre-production for the next film. If you have promoted yourself well and proved your company's good name, doing a second film is the logical next step.