Music is so much fun, that no one wants to think using music to earn a living could have any negative problems.
Music becomes a business once money is involved. Just like any other business, you always have to think about legal issues.
This is where music contracts become important. Frequently creative people get caught up in their music that they get rushed into signing legal documents and that it is only then they realize the magnitude of the industry.
Your music career may start out as a part time hobby and may result in a huge career. As soon as you know things are getting serious, it is a good idea to design a contract.
Even if you are working with your best friends, contracts are important to avoid legal problems.
When people go into business without agreements you can lose big and end up in court. This story happens over and over with amateurs and a group can break up.
A profitable music business is lost even though these problems might have been easily prevented. If a contract had been made maybe there would have been no problems.
A formal agreement does not imply a lack of trust, it simply means that you are explaining facts of your working relationship in writing.
There are a large variety of music industry contracts that can be determined amongst several parties. The parties involved may be musicians, agents, or perhaps record companies.
All these parties may benefit or hurt from the business relationship.
Basically is that any parties working together, can only guarantee consistent treatment by making a contract to outline your business dealings.
This is the simplest way that everyone will know of what they are getting in involved with from the beginning because it is clearly defined.
This is also a great suggestion because oral contracts don't always stand up in court.
