Here's the thing about doing "free work" for a company: if you're doing it for free, unless you're doing one hell of a job, why are they going to start paying you for it? It sounds all well and good and it was something I did right out of college but it never got anywhere because as soon as I was done with something I would never hear from them again until they wanted more free work. When it comes to graphic design, there really isn't such a thing anymore. That's what I went to school for and tried to get into until I just gave up. Aside from big time ad agencies, companies aren't looking for designers anymore, they're looking for web developers or marketing people who can also make pretty pictures (or in most cases all three).