Cells determine the bilayer characteristics of different membranes by tightly controlling their lipid composition. Local changes in the physical properties of bilayers, in turn, allow membrane deformation, and facilitate vesicle budding and fusion. Moreover, specific lipids at specific locations recruit cytosolic proteins involved in structural functions or signal transduction. We describe here how the distribution of lipids is directed by proteins, and, conversely, how lipids influence the distribution and function of proteins.