(Before the Fame Hits)
Starting a band is a lot like starting a business. The difference is, there’s likely more late nights, bigger dreams, and way more emotion. But, just like any serious business venture, a clear agreement between members is essential.
Welcome to the Band Partnership Agreement: the contract every band should have before things get messy, especially when there’s money or success on the table.
What Is a Band Partnership Agreement?
A Band Partnership Agreement is a private contract between band members that spells out how you’ll share everything: earnings, assets (like the band name), investments, and even the risks. It also covers what happens if someone wants to join, leave, or (yep) gets fired.
The music industry is full of bands who didn’t have one. (Stories below about many of them who fell apart because of it).
Why Bands Skip It…and Why You Shouldn’t
While entrepreneurs typically bring in lawyers from day one, many bands wait too long or avoid the topic entirely. Why? Usually:
- They don’t want to look distrustful.
- Things are going well, so they don’t see a need.
- Talking about breakups feels like jinxing the dream.
Lean in to the discomfort because: the best time to make a band agreement is when everyone is happy. That’s when it’s easiest to talk through the tough stuff and come to fair terms. Before egos, drama, or money get in the way.
Real Band Breakups: The Cost of Not Having an Agreement
It’s not just theory. Bands like The Beatles, The Smiths, Guns N’ Roses, and Cream all saw huge fallouts from misaligned expectations and unclear agreements. Some were legal nightmares that dragged on for years.
Watch these stories unfold
Paul McCartney on The Beatles’ breakup
Key Things to Include in a Band Agreement
Here’s what your band should cover when creating an agreement:
Percentages & Profit Splits
No one’s likely on salary at the beginning, so decide how future earnings will be shared:
- Equal splits? Maybe.
- Songwriters get more? Likely.
- Tour money split evenly, publishing by song credits? Smart.
Each scenario is different, so make sure it’s written down. Use songwriting split agreements to lock in shares on a per-song basis.
Voting & Decision-Making
You’ll need to vote on things like hiring/firing, expenses, or changing the agreement.
Avoid having an even number of votes, as tie-breakers are a real headache.
What Happens When Someone Leaves?
When a member quits or gets fired, what happens to:
- Their share of income?
- Their rights to the band name?
- Their cut of future assets?
Can remaining members buy out their share? At what value? Over what period?
These are tricky conversations—but they’ll save friendships and bank accounts down the line.
Legal Protection: LLCs and Corporations
If your band is growing fast, consider setting up as an LLC or Limited Liability Partnership. This protects members from personal liability if your band ever faces debts or legal issues.
Pro tip: Talk to a professional when deciding how to structure your band. It’s worth it.
Case Study: Busted and the Unauthorized Release
In 2001, Owen Doyle, a former member of the UK band Busted, sold the rights to a live recording without the other members’ permission. The third party released a CD under the band name—and one of the remaining members, James Bourne, sued to stop it.
The court granted an injunction: because Doyle didn’t have unanimous consent, he had no legal right to sell or use the band’s name or performance.
A clear partnership agreement could’ve made the whole situation avoidable.
Final Word: Build Your Foundation Before You Blow Up
Being in a band is emotional, creative, and chaotic. But if you’re serious about your future, protect it now. A Band Partnership Agreement won’t kill the vibe; it will keep the vibe going when things get tough.
Start the conversation while things are good. Your future self (and bandmates) will thank you.