You've made the great, times to sign the dotted line

Recording contracts can be scary to deal with for inexperienced bands. Mainly this is because contracts are binding. Once you sign you are legally obligated to do whatever the contract states. Record labels will try to make the language very complicated and this can confuse band members. It is very helpful to hire an entertainment lawyer to decode the contract. The lawyer can also help negotiate the terms of the deal. However, ultimately the leverage lies in the record label because they can choose to say "take it or leave it".

Source: http://entertainment.howstuffworks.com/recording-contract1.htm

Source: http://ethancramermusic.blogspot.com/2011/09/record-contract-do-you-really-want-one.html