They pull in people from malls with their "scouts," but these are not actual talent scouts. They flatter you by telling you that you or your child could be a model or an actor.
They then send you to talk to an "agent" who, in reality, is not an agent at all but a salesperson. That salesperson will tell you that their company will "market and promote you for what you can realistically do." They will feign insider knowledge of the entertainment industry, claim they discovered the models on random magazine pages, and their offices may be decorated with snapshots of themselves with various celebrities. But do not be fooled!
They have one goal: To sell you the most expensive package of head shots they can talk you into.
A google search for headshot photographers in NYC will immediately show that the average actor's head shots cost around $500, give or take. The packages Phaze 2 will try to sell you are no better quality, no greater quantity, and they range from $800 to $2000.
They will try to sell these insanely overpriced photos by convincing you that once you sign their contract and take the pictures, those images will then be uploaded to their Phaze3 website. This website is supposedly viewed by industry professionals, casting directors, and agents who will see your face and hire you for a job. They will never say who these industry professionals are. They will never say what shows or movies they are casting for. You will never see this website. You will just be pressured into thinking that this is your Big Opportunity to be discovered and become a star. And they will not accept head shots taken taken by anyone else, naturally. You MUST buy their overpriced ones.
If you agree, they will hand you a long contract with a lot of fine print that protects them from ever having to make good on any of the promises they have just made you. It also states that to have your photos uploaded to the Phaze3 website, you have to pay for a monthly membership, which is something they will not make any mention of before you buy those photos. The membership is not cheap.
All in all, everything they are selling you is a ripoff. If asked they will explain that by "what you can realistically do" they mean that with no training, connections, or resume you are only fit for catalogue modeling and background acting. Neither of which pay well, if at all. So do not believe them when they say that they know people who've payed for college that way. They take advantage of people who want to be famous (who doesn't?) and know nothing about the entertainment industry.
If you or your child are serious about acting/modeling, save your money and ignore these manipulative liars. Get head shots from a professional head shot photographer anywhere in NYC. Take some acting classes. Subscribe to Backstage. Do some mailings to agencies. All of that will be cheaper and more likely to get you into the business than Phaze 2 will ever be.