The Entity was not born inside a major studio but as part of a risky package assembled by the newly established American Cinema International Productions. The company financed it under a tax-shelter arrangement alongside I, the Jury (1982) and Tough Enough (1983), a structure that allowed investors to use film production as a financial vehicle while leaving the movies dependent on later distribution deals. Although The Entity completed its ten-week shoot in June 1981 and was initially expected to appear later that year, its corporate backer filed for bankruptcy in December 1981, leaving the finished film stranded. Universal Pictures briefly considered distributing it, believing it had commercial potential, but ultimately 20th Century Fox acquired the picture. Fox released it first in Britain in September 1982 and only later in the United States, where it opened on February 4, 1983 with little pre-publicity. Despite the chaotic afterlife, the film grossed about $13.3 million against a $9 million budget, turning a near-orphaned tax-shelter production into a modest commercial success.
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