I like that "independent contractors" spin. Do you get them to sign contracts to that effect?
Independent Contractor (IC) is an employment status. Either your an IC or an employee. Calling everyone in a band an IC is not legally possible, especially, if you "own" the band as a method to get out of paying taxes/benefits. The IRS has specific guidelines on who is and isn't an independent contractor. An employer can classify you an independent contractor and hire you but legally you still may be an employee.
You're more likely a general partnership with unequal rights. Theses can be listed in a partnership agreement. If there's no written partnership agreement, then your group is a general partnership.
Here's an article to checkout on current government actions on IC's:
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• Level of instruction.
If the company directs when, where, and how work is done, this control indicates a possible employment relationship.
• Amount of training.
Requesting workers to undergo company-provided training suggests an employment relationship since the company is directing the methods by which work is accomplished.
• Degree of business integration.
Workers whose services are integrated into business operations or significantly affect buiness success are likely to be considered employees.
• Extent of personal services.
Companies that insist on a particular person performing the work assert a degree of control that suggests an employment relationship. In contrast, independent contractors typically are free to assign work to anyone.
• Control of assistants.
If a company hires, supervises, and pays a worker's assistants, this control indicates a possible employment relationship. If the worker retains control over hiring, supervising, and paying helpers, this arrangement suggests an independent contractor relationship.
• Continuity of relationship.
A continuous relationship between a company and a worker indicates a possible employment relationship. However, an independent contractor arrangement can involve an ongoing relationship for multiple, sequential projects.
• Flexibility of schedule.
People whose hours or days of work are dictated by a company are apt to qualify as its employees.
• Demands for full-time work.
Full-time work gives a company control over most of a person's time, which supports a finding of an employment relationship.
• Need for on-site services.
Requiring someone to work on company premises—particularly if the work can be performed elsewhere—indicates a possible employment relationship.
• Sequence of work.
If a company requires work to be performed in specific order or sequence, this control suggests an employment relationship.
• Requirements for reports.
If a worker regularly must provide written or oral reports on the status of a project, this arrangement indicates a possible employment relationship.
• Method of payment.
Hourly, weekly, or monthly pay schedules are characteristic of employment relationships, unless the payments simply are a convenient way of distributing a lump-sum fee. Payment on commission or project completion is more characteristic of independent contractor relationships.
• Payment of business or travel expenses.
Independent contractors typically bear the cost of travel or business expenses, and most contractors set their fees high enough to cover these costs. Direct reimbursement of travel and other business costs by a company suggests an employment relationship.
• Provision of tools and materials.
Workers who perform most of their work using company-provided equipment, tools, and materials are more likely to be considered employees. Work largely done using independently obtained supplies or tools supports an independent contractor finding.
• Investment in facilities.
Independent contractors typically invest in and maintain their own work facilities. In contrast, most employees rely on their employer to provide work facilities.
• Realization of profit or loss. Workers who receive predetermined earnings and have little chance to realize significant profit or loss through their work generally are employees.
• Work for multiple companies. People who simultaneously provide services for several unrelated companies are likely to qualify as independent contractors.
• Availability to public.
If a worker regularly makes services available to the general public, this supports an independent contractor determination.
• Control over discharge.
A company's unilateral right to discharge a worker suggests an employment relationship. In contrast, a company's ability to terminate independent contractor relationships generally depends on contract terms.
• Right of termination.
Most employees unilaterally can terminate their work for a company without liability. Independent contractors cannot terminate services without liability, except as allowed under their contracts.
http://en.wikipedia.org/wiki/General_partnership
Partnerships have certain default characteristics relating to both (a) the relationship between the individual partners and (b) the relationship between the partnership and the outside world. The former can generally be overridden by agreement between the partners, whereas the latter generally cannot be done.
The assets of the business are owned on behalf of the other partners, and they are each personally liable, jointly and severally, for business debts, taxes or tortious liability. For example, if a partnership defaults on a payment to a creditor, the partners' personal assets are subject to attachment and liquidation to pay the creditor.
By default, profits are shared equally amongst the partners. However, a partnership agreement will almost invariably expressly provide for the manner in which profits and losses are to be shared.
Each general partner is deemed the agent of the partnership. Therefore, if that partner is apparently carrying on partnership business, all general partners can be held liable for his dealings with third persons.
By default a partnership will terminate upon the death, disability, or even withdrawal of any one partner. However, most partnership agreements provide for these types of events, with the share of the departed partner usually being purchased by the remaining partners in the partnership.
By default, each general partner has an equal right to participate in the management and control of the business. Disagreements in the ordinary course of partnership business are decided by a majority of the partners, and disagreements of extraordinary matters and amendments to the partnership agreement require the consent of all partners. However, in a partnership of any size the partnership agreement will provide for certain electees to manage the partnership along the lines of a company board.
Unless otherwise provided in the partnership agreement, no one can become a member of the partnership without the consent of all partners, though a partner may assign his share of the profits and losses and right to receive distributions ("transferable interest"). A partner's judgment creditor may obtain an order charging the partner's "transferable interest" to satisfy a judgment.
Note: See your legal and tax advisers for proper application of the law in your case.
), but we actually operate quite well as a democracy. The formal structure fosters a tremendous sense of pride in ownership and drive to succeed in each of us. It is the only way I could have ever expected these guys to commit their time and expertise with no immediate promise of financial return. If folks are gonna gamble with ya, ya gotta give 'em some incentive! 
