The Manager’s CornerThe Rules of Independent Contracting
by Chris Daniels
So what must you do to establish yourself as an independent contractor? The long version is to follow what are known as the ‘common law rules.’ Google them, and you will get an extensive lesson in this, but to give you just a short version: A) create an independent contractor agreement that you and your band mates sign, and agree to stating that you are all independent contractors (assuming that this is true). B) Each band member should establish a website for themselves, touting their own skills and abilities. C) Make sure you do not violate any of the basic common law rules in the way you do business, and some of those include: (1) that the band does not provide either training on how to do your job, or equipment to do your job (you bring your own bass and amp to the gig). (2) The control over how you do things should be dictated by the work you are to perform, and not the bandleader. (3) That you do not provide benefits, salaries (when there are no gigs) or other incentives to the members of the band. (4) That you do not penalize any band member for doing work with and for another band or organization.
The rules break down into two basic areas: financial control and behavioral control. It is worth your time if your are the leader of a band (or co-leaders in a band) to look them up and to talk to a lawyer about drafting an independent contractor agreement that abides by those rules.
I know this seems like boring-ass stuff, but please understand, this issue has cost many bands a huge amount of money that could have otherwise been spent on recording the next record or touring etc. and the CDOL (Colorado Dept of Labor), despite the good things they do for all of us who lose our ‘job-job’ and are out of work, just don’t ‘get it’ when it comes to the life and structure of most music groups. Ok, I promise, next month, revenues streams.
ONWARD, CD
Category: The Post