First of all, you are right. An agency is a licensed entity that does not charge you any mandatory fees. (They may offer to put your headshot in an annual publication for a fee, but that's always optional and usually not expensive.) Agencies are entitled to a commission (usually 10-15 percent) of money you make on a job. The client pays them and they pay you. That is fair and professional. Management companies, however, function differently. They will charge service fees specifically to promote you to producers and do not take anything from any money you earn from any jobs you get through them. Management companies are good when you're just starting out because they provide exposure and often producers will access their data files. You may have to do a few freebies to establish a portfolio or resume. I am a professional actor and producer who has been listed with agencies in the Detroit area since 1991. I've run an acting studio that's trained adults and kids for 24 years. I'm also a mother of two now-grown sons who used to do commercials and print work. Start out with simple headshots. You don't need a million pictures at once and remember that because kids grow so fast, you'll have to update them once or twice a year. Acting, dance and music lessons are good to invest in as well. Most importantly, working in this business is only good as long as the kids enjoy it. Good luck!