Startup cost
$10k–$50k
TRUiC Business Ideas
How to Start a Casting Agency Business
Decision Snapshot
Casting Agency
Idea Score
68
Profit margin
22%
Break-even
4 mo–12 mo
Time to launch
2 wk–12 wk
Demand trend
Stable
5-yr failure rate
—
Capital intensity
High
Time commitment
Flexible
Part 1 - How to start a Casting Agency business - Background
Production companies regularly have specific talent needs for the productions they’re working on. Casting agencies help production companies find the talent they need. Most agencies specialize in a specific niche, such as theater performers, commercial actors, films and television show actors, or extras.
As video-based mediums continue to grow, there is a lot of opportunity for casting agencies. According to IBISWorld, agencies’ aggregate revenue in the United States is $875 million annually and growing at 4.3 percent.
Our guide is in 3 parts:
- Part 1 - How to start a Casting Agency business - Background
- Part 2 - Our planner tool to see if this idea is the right fit for you
- Part 3 - Action plan to get started
What are the costs involved in opening a casting agency business?
The startup costs for a casting agency can run between $10,000 and $50,000, but it’s also possible to keep them lower. The initial expenses go toward:
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Securing an office and audition space
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Purchasing a phone and computer (along with internet access)
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Attending events and going to meetings
Business owners who have limited capital can greatly reduce these expenses by using a home office or renting space at a shared coworking center. If renting space, business owners should make sure a private conference room is available for auditions.
Most business owners already have a phone and computer that they can use, further reducing the total startup cost of an agency.
What are the ongoing expenses for a casting agency business?
The ongoing expenses for a casting agency business are minimal. They include the cost of utilities, office and audition space, internet access, and travel to events. Businesses that have employees also have salaries to pay.
Who is the target market?
While casting agency businesses must advertise to actors in order to build their talent list, their target market is ultimately production companies. It’s companies that pay casting agencies.
How does a casting agency business make money?
Casting agency businesses earn commissions on the contracts that they secure for talent. This is usually expressed as a percentage of the contract, but sometimes an agency may assess a flat fee on top of a contract.
Kerry O’Donnell reports that some casting agencies also charge talent registration or “digital processing” fees.
How much can you charge customers?
Casting agencies typically earn 10 percent of the contracts they negotiate. In some states, their fees are capped at 10 percent.
Agencies that charge a registration fee might charge talent anywhere from $25 to $500 for signing up. Most successful agencies understand the reason for a nominal charge but won’t increase this fee into the hundreds of dollars. Those that do charge $500 are frequently not as highly regarded in the industry.
How much profit can a casting agency business make?
Even with just a 10 percent commission, casting agencies can earn a significant profit.
On the low end of the pay scale, extras often make $10 per hour. Supplying a production company with 300 extras (e.g. for a crowded city scene), however, would result in charges of $3,000 per hour. Over the course of a 10-hour shoot, an agency would earn a commission of $3,000.
On the high end, actors for feature films can earn tens or hundreds of thousands of dollars. Payscale lists the median salary of actors at $49,825 per year. Based on this, each actor that an agency represents would net the agency an average of almost $5,000. With just 50 actors, an agency could bring in $250,000 annually.
How can you make your business more profitable?
Business owners of casting agencies can add a side source of revenue by offering auditioning classes to aspiring actors. Classes may be offered as a training package or through a separate company.
Day-to-Day and Growth
What happens during a typical day at a casting agency business?
A typical day at a casting agency business involves a lot of emails, messages, phone calls and in-person meetings. Business owners are in near-constant communication:
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Finding and auditioning prospective actors who want to join the agency’s list of talent
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Checking what production companies’ current talent needs are
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Recommending talent for production companies
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Arranging auditions between production companies and talent
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Negotiating contracts with production companies
What are some skills and experiences that will help you build a successful casting agency business?
Business owners must be well-connected within the entertainment industry to start a successful casting agency. They need to know producers and casting directors so that they can learn about different production companies’ casting needs early on and recommend talent.
The best way to build these necessary connections is by working in the industry before launching a casting agency. Owners can continue to build their network by attending events, such as shows, parties, festivals, and fundraisers. Getting plugged into the most exclusive events requires a previously established connection, though.
Because networking is so important, business owners may want to work for a casting agency before launching their own agency. Working as a casting associate or casting assistant won’t pay a lot, but the relationships forged while in such a position can prove invaluable.
What is the growth potential for a casting agency business?
Generally speaking, casting agencies may be “boutique” operations that carry a select list of talent or large corporations that represent lots of actors. Agencies that specialize in extras tend to be larger, because extras’ contracts pay less than those of other actors.
One successful boutique agency is Actors Casting Agency, which represents 92 men and women. Central Casting (which focuses on extras) is a larger agency with offices in four cities.
What are some insider tips for jump starting a casting agency business?
Business owners who have limited connections to producers and casting directors must make the most of the connections they do have. Business owners who can convince a close connection to give their new agency a chance can leverage the opportunity into more in the future. Providing a producer or director with outstanding service will eventually lead to recommendations and referrals, which will ultimately produce new clients.
How and when to build a team
Business owners can hire employees as their agency grows and has revenue needed to pay staff members. Successful agencies usually hire receptionists, casting assistants, casting associates, and casting directors.
Part 2 - Is a Casting Agency business the right fit for you?
Business Evaluation & Strategy Tool
We'll walk you through the four pillars every business needs: Points of Leverage, Marketing Strategy, Financial Model, and Personal Compatibility. At the end you'll see a personalized report and your action plan below will be tailored to your answers.
Step 1 of 4 — Points of Leverage
Every viable business has natural advantages. Below are common leverage points across four categories. Pick the ones that apply to your Casting Agency business. We've pre-suggested a few based on your idea — review and adjust.
Step 2 of 4 — Marketing Strategy
Without a way to connect with customers, even great businesses fail. Pick the channels you plan to use to reach your customers.
Step 3 of 4 — Financial Model
Enter your monthly baseline costs — the minimum overhead to keep the business running. Then we'll calculate how many sales per month you need to break even.
Step 4 of 4 — Personal Compatibility
A business that doesn't fit your life will fail no matter how good the numbers look. Tell us how this business fits you.
Your Casting Agency Evaluation Report
Complete the four pillars and your personalized summary will appear here.
Points of Leverage
Marketing Strategy
Financial Model
Personal Compatibility
Part 3 - Action plan to launch your Casting Agency business in 90 days
Nine concrete steps to take you from idea to open business, grouped into 30-day phases. Complete the planner above and we'll highlight what's most important for your situation.
First 30 days — Foundation
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Form your legal entity
An LLC keeps your personal assets separate from business debts and lawsuits — the most common reason small business owners choose this structure. Sole proprietorships and partnerships do not provide this protection.
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Get an EIN and register for taxes
Apply for your free Employer Identification Number through the IRS, then register for any state or local taxes that apply to your business (sales tax, franchise tax).
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Open a business bank account and credit card
A dedicated business account is required to maintain personal asset protection. Mixing personal and business finances ('piercing the corporate veil') can void your LLC's liability shield.
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Set up business accounting
Recording expenses and income from day one makes tax filing easier and lets you see when the business is actually profitable. Use software (QuickBooks, Wave) or a part-time bookkeeper.
Days 30–60 — Compliance & Risk
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Get permits and licenses
State and local requirements vary widely. Brick-and-mortar businesses typically need a Certificate of Occupancy; service businesses may need specific professional licensing; food businesses need health permits.
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Get business insurance
General Liability Insurance is the most common starting point. If you'll have employees, most states require Workers' Compensation. Specific industries need additional coverage (product liability, professional liability, etc.).
Days 60–90 — Launch
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Define your brand
Your brand is how customers perceive and remember you. A clear name, logo, and visual identity make every later marketing decision easier and protect you legally as you grow.
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Create your business website
Every legitimate business needs a website. Social media pages are not a substitute — you don't own the platform. Modern website builders mean you can launch a clean site in a weekend without a developer.
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Set up your business phone system
A dedicated business number keeps your personal life private, makes the business look legitimate, and lets you route calls professionally. Cloud phone services start under $20/month.