I was just wondering, for someone in a band just starting out playing in common places, do I really need a pre-amp or power amp or head, or will my basic 20watt Fender Mustang I combo amp do just fine?

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It can work fine but that doesn't mean it will work fine. It all depends on the rest of the band. If your amp is appropriately powered so that there is a reasonable balance with the other members for volume level then go for it. Some people say you can always mic the amp if it's not loud enough and that's true up to a point. However if you are competing with a 100 watt Marshall stack and a Mesa/Boogie Bass 400+ with two Hartke 410 cabs and a mic'd up drummer drummer then I don't think you should embarass yourself by even attempting it. Your amp won't be loud enough to even use it as a monitor. Try rehearsing at gig volume with the other members and if it works then it works.

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Just think of how awesome a guitar player you could have been by now if you had only spent the last 10 years practicing instead of obsessing over pickups and roasted maple necks.

Having a soundman would be a 1st step in the sound department.

like a line 6 combo bass amp and no mic on the drums

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if by "common places" you mean smaller venues then you'll probably be allright.... if the drums aren't mic'd, then everybody's going to have to balance themselves with the drums anyway. your 20 watter will be pushing, but it'll be enough.
best scenario (as was mentioned) is to mic the amps and have the sound-person balance everything out in the PA.

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thank you, worse comes to worse ill buy a cheap radio shack speaker

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20 W will do for small venues with unmiced drums but you'll have to step up to either a larger amp or mic your own for larger venues and/or miced drums.The very first gig I played we used several 5 and 10 W pactice amps each all daisy-chained together.WE thought we had it made stardom at last.

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'65 Strat,65 Mustang,65 Jaguar,4 more Strats,3 vintage Vox guitars,5 Vox amps,'69 Bassman with a '68 2-15 Bassman cab,36 guitars total-15asst'd amps total,2 vintage '60s Hammond organs & a myriad of effects-with a few rare vintage ones.

20 watt should be enough, i run my 40 watt (BDRI) at about 4 to compete with a big acoustic drum set... and it goes up to 12...

ive seen people doing large gigs with a small guitar amp they is just mic'd up... you can get away with it up to a point...

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blues - its a religion...

I used 15W superchamp XD in the approx 100 seat smaller venue not mic'd and not maxed out (on 8 on volume). Drum kit was not mic'd as well. Bass and another acoustic guitar were plugged into the PA, having levels properly adjusted, sometimes. This setup was fine loudness wise, however I found that it always lacked the bottom end (balls) with the 10in speaker. Now I am running 22w deluxe reverb 1x12 and that does the job.
One day if I get the chance to play 2000+ seat venues some 50W or more amp will be on order.

Your sound quality will also depend on what are you playing, how are you playing, and how much headroom you need in the amp. You should be fine as far as being loud, you might not get the sound you want but you can adjust that later with the different amp. Hey, a new amp day is fun.

Make note that every amp has a sweet spot at the certain level accounting the gear you use with the amp. What that means is just because I was fine with 15w or 22w doesn't mean that you are going to be happy if you need a pristine clean for instance. So you have to be certain what that sweet spot is and then judge if you need more volume and headroom.

I highly doubt that a 20 watt solid-state/digital Mustang I with an 8" speaker will be heard over drums.

20 TUBE watts would work.

I used to own a Twin Reverb, and for nostalgic reasons have been thinking of buying one again. How would this work for the OP scenario?

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I saw "A-list" acts playing the Fillmore, Winterland, and the Avalon Ball Room back in the '60s, most of the guitarists being equipped with un-miked Twin Reverbs.

Trust me......a Twin Reverb will be sufficient for any venue.

Arjay

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"Here's why reliability is job one: A great sounding amp that breaks down goes from being a favorite piece of gear to a useless piece of crap in less time than it takes to read this sentence." -- BRUCE ZINKY

+1 to Arjay's Twin Reverb comments....for many moons the TR was THE high powered Fender that covered everything from country to R&R,it's a very formidable amp in the hands of someone with some knowledge of how to get the most out of it....from small rooms to arenas.