The record companies want you to do all the work, and they want to take in all the money!
distribute your own stuff!
I don't know if that is completely true, but they expect a lot of work from the artist, which is normal considering the days we're living... i'm talking about the social networks, the connection with the fans, that's a 24/7 job.
I don't know what labels you refer cause, the ones i checked, they help you with booking, merchandising, recording production, radio promotion and other stuffs. So, it might be true that is very hard to get into a record label, but once you get there, i think they offer a very good deal.
But sure, there must be some that will charge you just to put their name in your "self made record album" just for being able to say "i got signed". Those ones are scum.
So the thing is, if you don't get a good or fair deal, then just don't get signed, is just a waste of time and money.
But unfortunately, i still believe that record companies still own the music industry, they have access to radio play and promotion that independent artists can't afford. How many times you'll hear a song from a signed vs independent artist on the radio?
Hope someday independent music rule the music industry.
Regards.