No, that's not correct. I paid either $ 300 or $ 400 to join one company that I have done about $ 100,000 in business with. It's been explained here a number of times, many legitimate sources have a setup fee to keep the tire kickers and Christmas present buyers away.
Some, like the one I mention, will even refund the fee after you purchase a specified amount. I didn't get that deep into this site, so I can't comment there.
Your main consideration should be whether they are true inventory owning dropshippers, or simply a "middleman" pretending to be a dropshipper and having the real inventory holder do the shipping, with them skimming off your profits.
The best way to check this out is a personal visit, either by yourself, if it is feasible, or a friend or relative if you know someone in the area.
Of course, another member here throwing out a good word would work, as well.
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