Model Balance: the Statement Every Model Should Know About

A model's balance, also called an income and expenses balance or statement, is a document kept by every legally operating model agency that shows the model's income and expenses. After the model contract, it is the second most important document, and it is usually stamped and signed by both parties.

Every model agency must inform the model about the statement and show it when needed. If an agency hides the statement or refuses to show it to the model, it means the agency is deceiving the model and may be keeping money the model has earned.

We advise you to always keep copies of your model balance, so you can avoid being cheated and know exactly what money is coming in and going out.

A model's balance at the mother agency

Every model agency, including mother agencies, must keep balances and statements for all the models it represents. Every model has the right to ask the agency for their current balance.

If the agency invests in a model, i.e. organises photoshoots the model does not pay for, covers all work-related travel, prints composite cards, pays for foreign visas and so on, all these investments must appear in the accounts. These investments are treated as the model's debt to the agency, and how the debt is repaid is an individual agreement between each model and the agency, which may be set out in the model contract.

A model's balance at a foreign agency

Every model who goes abroad must be informed about the money they have earned and the expenses incurred. When working with a foreign agency, the model can ask the agency's accounts department for their statement before leaving. If the balance is not ready on the day the model leaves, it is later sent to the mother agency by email or post. In that case the model can see their statement at their mother agency.

Sometimes models are unable to get their balance from their mother agency. This is one of the main signs that the agency is acting dishonestly and hiding the model's income from them. Of course, it is important to take into account when the statement from the foreign agency actually reached the agency, but every mother agency must let the model know when the balance has arrived and go through it together with them.

To prevent any abuse by your mother agency, ask for your balance after every trip to a foreign agency. This way you can judge whether it is worth going back to the same agency in the future. It is also important to check which hotel the model was put up in and whether the price shown in the statement matches the market price or is significantly higher. If the prices do not reflect reality, the agency has not been honest and it is not worth working with them again.

Writing off debts

A model's balance shows what the model owes the agency. Debts are the agency's investments in the model, which the agency wants to recover over time. In certain cases debts are written off or waived. This depends on how much the model works and earns, how well things are going, how hard they try and how much time they devote to the work.

If a model terminates the contract or moves to another agency, the debts do not disappear and the agency is entitled to recover them. The model agency also has the right to claim compensation for the terminated contract and the time spent developing the model. The agency's rights and the model's obligations in the event of termination are set out in the model contract. When a model decides to change agencies, compensation or debts are usually paid by the agency the model wants to move to.

When a model ends their career and does not continue with any other model agency, all debts may be written off or the model may be asked to cover them; each case of debt repayment is decided individually.