Tim and Eric are two filmmakers who are given a record-setting $1 Billion budget to make a movie. The funds are provided by Tommy Schlaaang and the Schlaaang Corporation. The two waste all of their money on the making of Bonjour, Diamond Jim, a three-minute film starring a Johnny Depp impersonator, and leave Los Angeles in fear that they will go to prison or be hunted down by the Schlaaang Corp. After seeing an advertisement for it in a bathroom, Tim and Eric decided to renovate the S'Wallow Valley Mall in the hopes that they will make back their billion dollar debt. While trying to refurbish the mall, they must deal with vagrants (ex. a man-child named Taquito), bizarre stores (ex. Reggie's Used Toilet Paper Discount Warehouse), and a man-eating wolf that stalks the food court. They are eventually discovered by the Schlaaang Corporation thanks to Alan Bishopman, an abrasive man who owns a sword shop in the mall. After a dramatic shootout in front of the mall, in which most of the main characters are killed, Tim and Eric manage to kill the members of the Schlaaang Corporation before the movie ends with them being sentenced to death for murder.

At the end, the whole movie is revealed to have been a film-within-a-film the two were showing to Steven Spielberg, who pronounces it the greatest movie ever made. Tim and Eric then celebrate with their Awesome Show co-stars as the credits roll.

Before the movie's release Tim & Eric started the Billion Dollar Pledge asking fans and celebrities to support them by signing a document stating they would not illegally download the film, and also not to see its box office competition The Lorax. Stars who took part in the pledge ranged from comedians and actors Ben Stiller, Mark Proksch, Bob Odenkirk, Seth Green, Peter Serafinowicz, Todd Barry, Rashida Jones and others to musicians Weird Al Yankovic, Maynard James Keenan, Josh Groban, the Yeah Yeah Yeahs and Maroon 5.