What are the most effective ways to resolve conflicts between band members over finances?

Since band members are focused on the creative side, it is important to have a legal professional set up in writing what the band informally decides on. (And have that information conversation when the band forms, not when it has money.)

A band agreement should be more formal than what you would find on the "back of a napkin." It's important to retain legal counsel to draft the agreement, and each band member should retain their own counsel to help them understand the terms. You might be best friends now, but time and money can change things. If a legal disagreement can arise between Hall & Oates after 50 years, it can happen to you!

Being part of a band is an artistic endeavor but also a business aspect. As soon as money becomes a factor, members need to recognize the transactional nature of this relationship. It's crucial to regularly track financial elements such as contributions, loans, participation, and expenses, preferably biweekly. The band should obtain an Employer Identification Number (EIN) from the IRS and establish a dedicated business bank account. Drawing a clear line between business and pleasure is essential to keep rocking on. This business-oriented approach is pivotal for positive outcomes and long-term sustainability. As you create beats, produce hits, and climb the charts, always remember to Budget Assets 'N' Dollars (BAND) together. #MONEY #UNITY

Hire an outside accounting firm or accounting professional to manage the finances and to provide monthly reports to the members as you would with any other business.

A band is a joint business venture. A joint business venture must have a signed contract. A signed contract must stipulate the financial side of things. And if we are talking about finance, an accountant should be involved for each band member.

For me, this is the first stage in resolving any conflict in bands and musical groups. Dialogue is the gateway to solving problems, and there is no agreement or contract without dialogue. Establishing a relationship of open communication with other members facilitates the prevention of future problems or the resolution of them in an equitable manner among all. A band is an artistic collective, and when there is professional output, it's clear that we should strive for professionalism, but without losing the timing of the moments. If you're at the beginning, seek experiences within the industry before assuming a bureaucratic behavior.

Without a shadow of doubt! Effective communication can resolve so many issues. Provided all parties are willing to actively listen to each other. They also need a lot of emotional intelligence, otherwise, it becomes a finger-pointing exercise, and a waste of time. Finance can be a huge bone of contention.

The Rolling Stones said, "You Can't Always Get What You Want." Your lawyer should tell you the same thing. Having a formal agreement and working with a business manager who understands the industry can help you prioritize your goals and figure out what's realistic from a business perspective. While it may not feel like a real business at first, you need to approach your band like any business owner and take the responsibilities seriously. It's also incredibly important to have your own attorney, tax preparer, and financial advisor. If you're responsible with your personal affairs as you go along, you might have the freedom to be more flexible, or even the freedom to walk away (depending on the terms of your agreement).

In my experience, being able to compromise starts with going way way back to the drawing board. What I mean is this. Think back to where it all started. How good and fun it was before finance came into the equation. That passion to simply be heard because the band something awesome to offer to the world. It's that energy that really should come into play when negotiating and compromising. Bite your tongue and give it a go. See how things pane out.

One thing I've found helpful is that whenever I have a conflict with my sister, it has always been an opportunity for me to get to know her better. It's even an opportunity for me to get to know myself better too. I learn more about what affects her and how it can easily result in future conflicts which I want to avoid. It also helps me to grow into being a more understanding sister - more sensitive to the needs of my beloved sibling.

I also think that when band members find themselves in conflict, this isn't the time to get other unprofessional family and friends involved. Ultimately, they can make things worse by naturally taking sides. Once the conflict has been resolved, get back to the business at hand and let it go. If any member of the band is still harbouring a grudge, the band will undoubtedly eventually fall apart.