The woman behind Dunedin-based Ali McD Models is planning to expand into other areas, with an emphasis on Queenstown and Christchurch, where she has seen some "amazing" potential models, and Wanaka and Invercargill.
Unfortunately, there was not a lot of work in Dunedin - "that's just the bottom line" - and succeeding in such an industry was all about "thinking on your feet" and being proactive.
But the city was still the hub of the business and would always remain so, she said.
Since establishing Ali McD seven years ago, Ms McDaniel said her passion for the industry remained but her eyes were now open and she acknowledged it was a fickle industry.
It was hard economically at the moment and owning any business in Dunedin was difficult.
But, in such times, she believed modelling and confidence classes were even more important, as people had to feel good about themselves.
Ms McDaniel estimated more than 500 aspiring models sent her photographs of themselves each year.
She admitted she was "blatantly honest" and, particularly with the lack of work in Dunedin, she had to be realistic.
But she had also found some fine models, including Stella Maxwell, now based in Paris, who has become one of the two faces of H&M and started modelling when she was a student at the University of Otago.
"Had I not spotted her, she would have been at uni and had a great wee life . . . it's broadened her horizons," she said.
Fellow model Tristan Burnett recently shot for Armani and, like Ms Maxwell, was modelling every day on the international stage.
A model and make-up artist for years prior to establishing the business, and a mother of two, Ms McDaniel said she loved her models and staff.
"I think if I didn't have such great people I worked with, it would be less exciting and probably too hard."
She planned to "knuckle down" and continue to develop the business, getting more talent on the books for film and television, hunting for more models, and developing her make-up school.
She has the only make-up school in Australasia to gain sponsorship from make-up giant Revlon.