Business

MoviePass CEO: 'We now have the right model'

MoviePass says it has finally nailed down its business model.

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By
Jill Disis
(CNN MONEY) — MoviePass says it has finally nailed down its business model.

CEO Mitch Lowe says its latest offer — 3 movies a month for $10 — will make the company sustainable. It has been burning through tens of millions of dollars each month paying for its movie-a-day program.

"It is really tough to launch a business that shoots up like a rocket ship, but hasn't completely got the business model right," Lowe told CNNMoney's Christine Romans on "Markets Now." "We now have the right model."

Helios and Matheson, the parent company of MoviePass, was trading at about 7 cents per share Wednesday afternoon.

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