Incorporated bands In order to properly understand what happens when an incorporated band splits, one must first understand a little bit about how bands become incorporated in the first place. Oftentimes, as bands become “bigger” (i.e. more popular or recognized), they make the decision to incorporate, creating a legal entity separate from the band members themselves. This might be done for a number of reasons and has a number of advantages and disadvantages that come with it. An advantage might include, for example, that corporations are subjet to more tax benefits than a physical person, whereas a disadvantage might include.