After Madness disbanded in 1986, Thompson formed a new band The Madness with Foreman, Suggs and Chas Smash, but they broke up after releasing one album in 1988. Thompson then joined forces with Foreman, and the pair began to write songs. They soon recorded an album at Liquidator Studios with Thompson on vocals and saxophone and Foreman playing the other instruments. This album included the song "Magic Carpet", which was co-written with Suggs and originally intended to be included on a Madness album. When it came to promoting their debut album, they found they needed to form a group and also decide on a name. Due to an error at the printers, the band name and album title were accidentally switched, and they started off as The Nutty Boys. . The album was re-released in 2002, and the mistake was rectified, with the group now known as Crunch! During this time Lee was often found in the early hours flyposting with part time keyboard player of Crunch Mark Sexbery in the East End.