The first thing one needs to look for is a company that employs a genuine graphic artist. Their work should be displayed and you should like their style. Artistic styles can be broad, so find one that appeals to you and is germane to your project. Make sure the company will grant you specific rights to your image. They should not use your image as "stock," which is when your brand or label gets used on another product.
One of the best ways to price potential designers is to see their flat fee section. This will negate over-runs and save you money. A good company will offer flat fees and unit prices that will include: Title, cover art design, back trays, spine, the informative fold out and CD label. Many companies will offer this for about $500. Some companies offer packages that start at $149, but be sure to calculate add-ons before ordering.
Usually the entire process will take one month from design, development and execution to delivery. However, the better idea of what you want beforehand should decrease turnaround time.
Here are some companies that do custom labeling for fair prices:
Printing For Less offers online quotes for CD cover projects.
Norwest Design, specializes in custom artwork.
Design n Print, keeps money down by allowing you to upload your images and then doing the printing.
Kumb Design, is an all-in-one design print shop.
Be sure to contact the companies before making an order to be sure they can offer you what you want. It is imperative that they answer all your questions to your satisfaction before you make an order.