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In this video tutorial, the importance of having a service agreement when operating a business is emphasized. As a newbie who just landed their first contract, it is common to receive vendor agreements and demands for insurance information, EIN number, and W9 form. While eager to start work and earn money, it is crucial not to overlook protecting oneself by ensuring a service agreement is in place. This agreement helps to establish clear terms and protect both parties involved in the business transaction.