Greenlight logo
Greenlight logo
How to make money from home as a kid: little girl manning her lemonade stand
Beginner

How to start a lemonade stand for kids

Share via

A lemonade stand is the perfect way for kids to learn about running a business while having a blast. Done right, it's also a great way for kids to earn their own money. But, because it involves money and interacting with the public, this activity definitely requires parental involvement and supervision. Here's how to set up a successful and profitable lemonade stand.

The basics of starting a lemonade stand for kids

Starting a lemonade stand can be a great learning experience for kids. They can learn about entrepreneurship, money management, and customer service while making some easy money along the way. 

Choose the location wisely

The first step in setting up a lemonade stand is choosing a good location. Look for areas with high foot traffic, such as parks, playgrounds, or safe neighborhood corner streets with lots of dog walkers or other school-age kids. 

Greenlight tip: Check in with a parent or guardian and get approval on your location before you start! And always have an adult supervising the stand with the kids. 

Make sure it’s legal (seriously!)

Believe it or not, most states require a permit to run a lemonade stand, even if it’s on private property. At last check, only 14 states will let you sell lemonade without a permit. 

But of course, many of those state or county laws have caveats for the real world. In California, for example, kids under 12 are exempt from food-vendor permit requirements as long as they’re selling lemonade for school fundraising purposes. 

Bottom line: Make sure to check with local laws and regulations before setting up shop.

Lemonade stand supplies

To run a successful lemonade stand, you'll need some basic supplies such as cups, a pitcher, a lemon squeezer, and ice. You can also add fun extras like straws, signs, and decorations to attract customers. Of course, you'll also need lemonade mix or lemons and a squeezer. Luckily, it's easy to make. Other lemonade stand supplies include a table or stand to display your products, chairs for you and any helpers, and wipes or napkins for spills. If you want to take it up a notch, you can even invest in a small portable umbrella or canopy to provide shade on hot summer days.

Simple homemade lemonade recipe

To make delicious homemade lemonade, you'll need lemons, sugar, and water. Here’s a never-fail homemade lemonade recipe you can make with your kids. 

Ingredients:

  • 1 cup freshly squeezed lemon juice

  • 1 cup sugar

  • 6 cups water

Instructions:

  1. In a pitcher, mix the lemon juice and sugar until the sugar dissolves.

  2. Add water and stir well.

  3. Chill in the fridge or add ice cubes before serving.

  4. Enjoy your delicious homemade lemonade!

The lemonade stand as a business

A lemonade stand is effectively a small business, and it's important to teach kids the basics of running one. Have them keep track of costs, sales, and profits. Tracking helps kids learn about money management, including the differences between making money, losing money, breaking even, and making a profit. 

Create a budget for your lemonade stand

Like any profitable business, to make your lemonade stand a success, you need to create a budget. Budgets help determine how much you should charge for your lemonade and how many cups you need to sell to cover your costs. To make a budget with your kids, have them help you list out all the expenses, such as supplies, ingredients, and any permits or fees. Next, determine how many cups of lemonade you can sell and at what price to make a profit.

Set a price: How much should kids charge for lemonade?

Deciding on the price of your lemonade is another crucial step. It's essential to consider the cost of ingredients, competition in the area, and how much customers are willing to pay.

Pricing can be tricky, but here’s how much a kid should charge for lemonade

  • The cost of supplies: Make sure to cover the cost of all your supplies and ingredients.

  • Competition: Check the prices of other lemonade stands in the area and consider charging a similar amount.

  • Value: If you're offering extra services or unique flavors, you might be able to charge more.

Popular prices for a cup of lemonade range from 50 cents to $1. (Bring a tip jar, too — some people might feel generous😉)

How to attract customers

To attract customers to your lemonade stand, you'll need some marketing strategies. Here are a few ideas:

  • Tell friends and family to bring friends and family.

  • Create eye-catching signs and posters with colorful drawings or pictures of lemons.

  • Tie bright balloons to your stand.

  • Offer discounts or promotions such as "Buy one get one free."

  • Set up your stand near a popular event or attraction. Always be sure it’s in a safe area  set back from any traffic and always supervised by a trusted adult. 

Managing money and customer service

As the proud owner of a lemonade stand, kids will need to learn how to manage their money. Teach them basic math skills like counting change and keeping track of sales. They should also practice good customer service by greeting customers, being polite, and thanking them for their business.

How to keep track of profits

Keeping track of profits is an essential part of running a business. It can also be a great learning opportunity for kids. Make sure to record all sales, expenses, and profit/loss each day. This can help you track your progress and make adjustments for future sales.

Tips for a successful lemonade stand

  • Offer different flavors of lemonade to attract a variety of customers.

  • Use social media or word of mouth to spread the word about your stand.

  • Have fun and be creative with your marketing strategies.

FAQs about starting a lemonade stand for kids

Q: Do I need a permit to have a lemonade stand?

A: It depends on your location. Some cities or states require permits for any type of street vending, including lemonade stands. Check with local authorities before setting up shop.

Q: Can I make money from a lemonade stand?

A: Yes! With the right location, supplies, and marketing strategies, kids can make a decent profit from a lemonade stand.

Q: Can I sell other items besides lemonade at my stand?

A: It depends on local laws and regulations. Some areas might allow additional items, such as cookies or snacks, to be sold alongside lemonade. However, it's essential to check before adding anything else to your menu.

Q: How long should a kid run their lemonade stand?

A: A good rule of thumb is to run the stand for 2-3 hours, or until supplies run out. It's also helpful to take breaks in between to restock and count profits.

Q: How can parents help their kids with a lemonade stand?

A: Parents can help by supervising, assisting with setup and cleanup, providing money for supplies, and teaching valuable business and customer service skills.

A lemonade stand is an excellent opportunity for kids to learn about entrepreneurship, money management, and customer service. With the right preparation, location, and marketing strategies, it can also be a fun and profitable experience. Now, get out there and start your own lemonade stand business!

Want more tips and tricks to make parenting a breeze? Check out Greenlight Learning Center for helpful resources on all things family, finance, and fun.


Share via

Hey, $mart parents 👋

Teach money lessons at home with Greenlight’s $mart Parent newsletter. Money tips, insights, and fun family trivia — delivered every month.

Try today. Our treat.

After your one-month trial, plans start at just $5.99/month for the whole family. Includes up to five kids.

Read how we use and collect your information by visiting our Privacy Statement.