I have prepared this response for one model, but as it may be of some value to other people
considering a career in modeling, I have edited it for posting here. These comments are a
result of my experiences over the years, they are my opinions and are not to be mistaken
for the last word on these matters.

       Getting started: Start up costs for a beginning model and how to pick an agency.

Agency fees charged directly to a model can be broken down into two distinctive groups, one
which can be considered normal charges made by any agency (although they can be
abused), and another group which would certainly be suspect (but not necessarily
improper).

The first group of normal fees would include the agency commission for placement on
jobs. Normally expressed as a percentage of the hourly or daily rate earned by the
model, this percentage can be as low as 5%, and as high as 50%, with the average
for placement on standard print or runway work being 20% (be aware that the agency
may also charge the client, not the model, a service fee, again typically 20%).
The lower fee structure is usually associated with TV or movie work, and the higher
percentages are typical of foreign assignments, mostly in the Far East (Japan,
Korea, etc.). Other "normal" agency charges include the physical cost of producing
materials directly associated with the promotion of individual models. Composite
cards for the model which are ordered through the agency are charged back to the
model, placement in the agency promotional book which is printed and distributed by
the agency, and now electronic media promotional materials such as (but not limited
to) internet promotional websites.

Why are these these charges and fees passed through to the models, and not absorbed
by the agency as normal operating expenses? Part of this has to do with tax law,
and part of it has to do with the nature of the "standard" representation contract
signed by the models with the individual agencies. The vast majority of these
contracts strive to create a relationship which is not an employer - employee
relationship. The agency typically promises only to "advise" the model, and no
promises of guaranteed work or payments (except the direct pass through of
collected model's fees from the clients) is made. If this arrangement is properly
structured, the agency is not normally responsible for taxes such as withholding,
social security payments, unemployment, and workman's compensation premiums.
Payment of direct charges for printing, publishing and distribution of promotional
materials for the models (not more general materials promoting the agency) could
imply that an employer - employee relationship does exist, and that would place the
agency in the position of having to pay significant taxes and premiums to the
government (federal, state, and local). It is also possible that the agency would
even come under the equal opportunity provisions of various oversight agencies.
Clearly this would put agencies in an odd position (do you have enough models over
40, what percentage of your models are handicapped or of Serbo-Croatian ancestry?).
So agencies do pass on the hard charges directly associated with many promotional
items associated with individual models And by the way, major agencies in cities
like New York, Miami, and Los Angeles who provide access to "model's
apartments", who advance living expenses for things like food, and who prepay fees for
travel to and from assignments, do so under loan arrangements and fully expect to
be paid back by the models from client fees or directly by the models from their
own pockets.

The second set of more questionable charges made by smaller agencies in smaller
(and sometimes large) markets include such things as "modeling classes", makeup and
runway training, and photography produced by a specific "agency photographer".
These "agencies" invent special fee opportunities faster than I can keep up with
them, but unless they are specifically related to direct marketing charges for
model promotion, I remain very skeptical. These "fees" are more likely to be the
agency's major (or even only!) source of income, when the placement of their models on paying
assignments should be. Asking to be provided with information about the income made
by the agency's top models for assignments arranged by the agency is not out of line when
you are considering being represented by that agency.

I am also not a fan of the various model "searches", which promise access to major
agency representatives or scouts, but primarily are in the business of collecting
large fees from prospective models while providing access to these people (if they
can actually attract them) under the most adverse circumstances. Much better is for
the local agency or agent to actually arrange individual appointments for their
models with the major agencies, and then you go see these agencies at their offices.
Typically this could be done for the fees charged for these
"searches", and places the model in the best position to be seriously considered.

So, what are the expenses a person should reasonably anticipate when considering a
career in modeling? First: photography (and not necessarily with one photographer!).
Reasonable charges for photography which should produce images which can be used to
promote the model first to the agency, then to prospective clients, run from $500
to $1,500, not including makeup and enlargements. Many photographers who work for ad
agencies or other commercial clients will test models for a minimal fee (figure
$300 to $500) in order to meet and work with the model prior to a commercial shoot.
Rarely, a qualified photographer will test for very little or nothing, but understand
that the photographer under those circumstances may be more interested in getting a picture
of interest to them, than one of value to the model. Sometimes an agency can
arrange for a free test with a photographer the agency is interested in learning more
about, but then again, the results are a matter of some conjecture (hence the need
for the test).

Makeup and hair styling for photography shoots are also a responsibility of the
model. Some models can do their own makeup, but this is an area of great importance
to the finished result, and should be left to a qualified professional. Sources for
referrals to a good makeup artist can be through the agency, or through a qualified
photographer. Costs for makeup can run as little as $50 for a short shoot, to as
much as $300 or more. A reasonable fee for a qualified artist for a typical
portfolio shoot might be around $250. Don't expect one session to produce more than
two or three "looks" (changes in attire and makeup). Any more than that starts to
become repetitive and the number of useful images drops dramatically.

Composite cards are a key to marketing any model. These are normally a single
"flip" card, 8.5" X 5.5" in size (although this can vary slightly), with normally
one shot on the front, and three or four on the back. A great head shot normally is
the "grabber" on the front, and the back would show images consistent with the type
of work the model seeks on the back. The costs for these cards can run as little as
$100, to as much as $1,500 or more for elaborate multi fold, printed color cards.
Today, most new models (and many heavily booked veterans) have cards with both
color and black and white images produced on specialized laser copiers for as
little as $150 to $200 for 100 cards. Additional cards can be obtained quickly when
they are needed, and new pictures can be inserted when desired on subsequent
orders. After a model has the necessary four or five quality images this is the one
marketing tool they must (I stress, must) have.

Agencies, particularly smaller market (or remote) agencies are increasingly using
the internet as a communication and marketing tool. We are even seeing the major,
large market agencies now "online". Again, the agencies are charging the models for
their inclusion on these websites (they do cost money), but the costs are typically
low (figure $100 per year as a fair charge). Anything substantially higher than
that would be a red flag.

So, what does it cost to get started? As a purely speculative number based on my
analysis, lay aside $500 to $750 for photography (figuring two or three shoots),
$200 to $300 for makeup and hair styling, $400 for cards, a portfolio book with six
to eight high quality enlargements, and maybe $100 for electronic media. This
doesn't include wardrobe, travel expenses, shoes, meals, living expenses, etc. Can
it be done for less, of course. Primarily in the area of photography, where trade
outs are possible, but remember, the closer you cut the corners, the greater the
risk in failing to get appropriate marketing materials.

On going expenses include the cost of constantly updating and improving your
photographic images (and here you can get help, as you work with photographers and
find people who give you quality work, you can frequently work out trades for
time), replacing old cards with new images, hair care, wardrobe, travel to meet new
clients, agents, and photographers. Hopefully, your agency is getting you
placements at this time, and so these expenses are part of the normal cost of doing
business.

An agency should only take you on because they believe they can place you on jobs,
their income is dependent on you working (assuming they are a legitimate agency).
It is reasonable to expect that if they sign you, you will have the opportunity to
work, which justifies your startup costs. But please, do check (ask them directly)
about models they represent, and if they are getting good paying assignments. Real
agencies are not reluctant to provide this information, they are proud of their
record, it is how they attract working models. Even big name models change agencies
(Niki Taylor from Irene Marie to IMG, Claudia Schiffer from Metropolitan to Elite,
as an example), and they do this because they believe that the new agency can
provide them with more work than their original agency has done. If an agency has a
great track record, they can't wait to tell you!

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John
--
John Fisher
900 West Avenue, Suite 423
Miami Beach, Florida 33139
Voice: (305) 534-9322
Fax: (305) 675-9286
http://www.johnfisher.com