
I styarted by keeping in contact with my breeder, the owner of my bitches sire and joined the breed club and purchased the back issues of the clubs yearbooks for about 20 years. Also bought a book about the breed in the UK written by a Championship show judge and one time breeder of my breed.
With these materials to study I was able to form an opinon of what was required and of course the two longstanding breeders were able to help me with ideas as to what studs might suit my bitch (interestingly wnough neither pushed their own dogs, but mentioned them along with other possiblilities).
I started showing my bitch to get an idea of her quality against her peers,and was also this able to meet and get to know the potential stud dogs and their offspring and choose one that appealed to me most, bearing in mind likely compatibility and results of similar combinations I was able to see.
I would expect this process to take you at least a year.
As to stud terms these vary from breed to breed, but I would always pay a fee rahter than offer the sud owner a puppy. Otherwise you may find that you have to keep people waiting on their choice until stud owner has chosen, or they may want the puppy you have set your heart on. Of course they can buy a pup from you if they really like one of the available ones. Stud fees in my breed are the price of a puppy, but in others they can be more or less, and you should expect to pay up front after you have witnessed the mating.
Good luck.