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The video tutorial discusses the importance of having a service agreement when operating a business. It highlights the need for newbies to protect themselves by ensuring they have all necessary paperwork in place, such as insurance information, EIN number, and W9 form. By not having a service agreement in place, businesses may leave themselves vulnerable to potential issues. It emphasizes the importance of protecting oneself and providing clients with a service agreement to establish expectations and protect both parties involved in the business transaction.