The term "waterfall" is used in the film and audiovisual industry to refer to the profit distribution system of a film project.
In this context, the waterfall refers to how the revenues generated by a film are distributed among various stakeholders, such as investors, producers, authors, etc.
The waterfall establishes the order of priority in which each stakeholder receives their share of the proceeds, and each film project has its own waterfall, structured according to the contracts and conditions previously agreed upon.