Band Fund Thursday #1: The Basics

Money and music don't go together, right? No one wants to be tainted by that quest for cash? I completely understand that sentiment. However, if you want to live by performing, writing music, touring, or recording music money will have to fit in there somewhere. You need to eat, you need a roof over your head (even if it is the roof of a van), and you need money for guitar strings and instrument cables at the very least.

So if your group has to deal with money you might as well be smart about it. One of the most simple things a group can do to start to wrap their head around band or artist finances and dealing with cash is to start a band fund. Now you do not have to go right out and hire the most expensive accountant you can find, but there are a few things a band or any artist should do to start a band fund (These are very simple tips and you should be extremely careful with group finances but these tips are better than nothing and future posts will delve deeper into more advanced band fund techniques.)

1. In order to have a band fund you will need money first. In order to get that money, in the past, I have instituted "band dues" as start up cash whenever I started a new band. The dues can be small, a few dollars a week, but it is important that the dues are paid. Keep track of who pays, who doesn't and there should be a late payment penalty. If you think this is too much work or too expensive then you are not taking your band seriously. If you are not taking your band seriously then why would anyone else, especially record labels, booking agents, band managers, or entertainment lawyers?
2. Get a place to keep the cash, whether it is a jar, a cash box or a piggy bank, just keep all the money in the same place and keep that container in a safe spot where everyone knows where it is, maybe in the band practice spot?
3. Keep a notebook with the band fund at all times, record any money that goes in and any money that goes out.
4. Eventually you will want to bring this band fund to shows and add to it from merch sales and use the band fund, instead of your own money, to pay for gas or to get new t-shirts printed.
5. Initially, a good goal is to build up $100.00 in the band fund. As the band fund grows you can start thinking about a bank account, but start small and stick with it.