Over on this link you can find further help to guide you to setting this up.
Step 1: Download Songbook v.094
Step 2: Find the Downloaded Zip file and move or copy it into "my documents/Lord of the Rings Online/Plugins. If you don't have a Plugins folder there then create one.
Step 3: Extract the files from the zip folder: Right mouse click and extract all.
Step 4: Now you have a folder in the plugins folder entitled "SongbookBB.v094" Open this.
Step 5: In the SongbookBB 094 folder there is another folder "ChiranBB" Cut or copy and paste this entire folder to the plugins folder. (Taking it out of the folder and putting it in the one before).
Step 6: Start LOTRO and see if the plugin has been successfully installed. Log into any character -The up arrow on the far left of the bottom buttons panel - to "System" then in the next set of options 3rd down "Plugin Manager" - Click this!
Step 7: You should have opened the Plugin Manager Panel. Highlight songbook and "load".
Step 6: Your songbook should have opened!
Add a file:
Step 1: Go to: My documents/Lord of the Rings Online.
Step 2: Open or create and open a folder "Music"
Step 3: Download the attached file and copy it into this Music folder.
SoundsOfSilence
Info: You can have as many additional folders in your Music folder - Often helps to separate different sets of music for whatever needs you may have.
Step 4: Filling Songbook - Open MyDocuments/The Lord of the Rings Online/Plugins/ChiranBB
Step 5: Double left click Songbook.hta. If you get a new security window open click "run"
Step 6: You should have now opened the "Songbook Music Library Generator" - Select the account you wish to use and click on the "Build Song Library" - Button. The close when it is complete.
Step 7: Open LOTRO or close and open songbookbb in Lotro and see if the song Sounds of Silence has appeared in your folder window section of Songbook.
Songbook Appearance:

Step 1: The Band leader forms a fellowship and invites all members
Step 1a: Each member selects the correct instrument and clicks the "M" to enter music mode.
Step 2: Each member clicks on the song and chooses a part by clicking on the part and clicking ">|"
Step 3: The band leader makes sure everyone is on a different part and then when ready clicks on "|>".
It should be as easy as that!