fuse close to the batt as poss, normally within 8 inches, and if you can, fuse near the amp as well.
you are not only protecting from shorts, but also high current, too much current draw on a wire thats not thick enough can burn through insulation and cause fire, thats what the fuse ratings are for ;)
though mind you, i dont think your running much power are you? so might be fine with just the one near the battery for shorts.
grounding can be done at the battery, as long as the battery is suffciently grounded. so for example, im assuming your using 8 awg wiring for the ground, and 8 awg power, id upgrade the battery to ground wire to 4 or 0 awg, (id go for 0 awg cos it has more beinifts, and possible future expansions) then youll be fine to connect the earth wire through the batt
hope that helps bud

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