It’s great to get together with fellow musicians and shed. Then you start to get some tunes together and want to gig. All of a sudden, you’re a band! Aren’t there some things you should do before you take the next step?

Starting a band is like starting a business. And every business should start with an agreement. While every venture starts out with good intentions and everyone getting along, things inevitably break down. An agreement can lay out who contributed assets to the business (“that’s my microphone!”), how ownership is divided amongst the members (“I’m the singer so this is my band”), and how decisions are made (unanimous? majority rules?). If the band or business is an LLC, an operating agreement lays out all these details (and more). An operating agreement is absolutely necessary when founding an LLC.

Whether you’re a musician starting a band, a filmmaker embarking on a new project, a designer producing a new line of products, or just about anyone starting any business, make sure you put it all in writing from the very beginning. It saves a lot of headaches and heartache down the road.