- Lemonade stands teach kids advertising, algebra and communication skills, says Lynée Fife.
- Children gain problem-solving, teamwork and traffic safety skills from running stands.
- Utah's "Lemonade Stand Law" allows minors to run stands without permits.
SALT LAKE CITY — Nothing tastes better than a cold glass of lemonade on a hot summer day, especially after several long hours of selling it under the sun (or more likely, helping your kids do it).
Lemonade stands are a great way for kids to practice important life skills. Here's everything you'll want to know for a successful summer stand. Plus, some fun facts to entertain your customers with.
When life gives you lemons, use it as a learning opportunity
Children can learn a lot standing behind a decorated folding table, waving at passing cars with a smile that says, "Please won't you buy a glass of my homemade lemonade!"
Though they may not immediately realize it, decorating a sign to attract customers shows kids the importance of advertising. Counting change and inventory is a way to practice algebra. And interacting with customers teaches the value of communication.
Lemonade stands are often a child's first chance to implement these in a real-world situation, because they provide a simple way to practice entrepreneurial skills.
"It strips down entrepreneurship to its basic elements," Lynée Fife, executive director at Kids Markets, told the Deseret News. "You make something, you sell it, you serve a customer, you handle money and any kid can do it."
From this experience, children pick up many skills that prepare them for future opportunities.
Soft skills
What happens if the weather turns sour? Or the lemonade turns out a little tart? These minor bumps in the road teach problem-solving, encouraging kids to build solutions and practice critical thinking and resilience.
Some of the soft skills children gain include marketing and sales experience like managing investment, recording profit and net costs and budgeting for supplies.
Plus, most lemonade stands aren't a one-man band. Working with friends or family members requires teamwork, delegation and splitting the profits.
Hard skills
If kids set up shop in their neighborhood, most customers will be likely be familiar faces. But talking with other passersby will introduce them to safely interacting with strangers. What's more, spending a day on the sidewalk educates children on proper traffic safety and how to behave around busy streets with moving vehicles.
Making change, counting inventory and tracking sales gives young entrepreneurs a chance to practice their algebra skills. (A perfect way to keep up until school starts up again in the fall!)
And, who'd have thought kids could familiarize themselves with health codes while on the job? Keeping the stand organized during operation helps kids understand the importance of cleanliness and proper hygiene.
These skills are applicable to any future career.
"All these kids aren't going to go on to become entrepreneurs, but these skills that they learn will serve them throughout the rest of their life," Fife said.
At the end of the day, kids go home with not only a little spending money, but the confidence that comes from accomplishing a goal, learning responsibility and gaining a new sense of independence.
"The lessons are endless," Fife continued. "And my favorite thing about a lemonade stand is they don't even realize the lessons they're learning; they just think it's fun."
Tips for sweet success
If you're going to commit to a day in the sun, you'll want to know your kids will come out of it with a smile on their face. Here are five tips for them to follow for the best experience.
Find a good spot: Popular street corners are the best places for lots of visibility where you can catch the eye of potential customers.
Choose a reasonable price: If your cup costs too much, you'll drive business away (or more accurately, your customer will drive right by). But, if your deal is too good, you won't make any profit. Finding a balance is key.
Offer treats or snacks with your lemonade: A broad selection appeals to a variety of customers. Consider adding some appeal to your stand with something salty like chips, or sweets like cookies and cupcakes.
Set a goal: Success is better measured when you set a benchmark. Give yourself a target to guide your work, like aiming for a set revenue or saving your earnings for something specific.
Have fun! Dress up and make fun signs to stand out. Get your friends to join in, too, to make the day extra entertaining. It is summer after all!
A bonus tip for parents
Help your kids by supervising and giving advice, but don't micromanage. Children get the most out of their experience when they learn from their own choices. Keep an eye out and step in if needed, but let them practice a little bit of independence.
Fife's advice for parents is to "be their children's guide" and recognize that a childhood lemonade stand is a safe place for their children to learn important lessons.
"It's tricky, because as parents, we want to see our kids be successful. We innately take over sometimes," Fife said, adding that it's important for parents to recognize that "sitting back and letting them, you know, do it themselves is really where the kids are going to learn the most."
5 fun facts you probably didn't know about lemonade stands
- American lemonade stands date back to the mid-1800s in industrial New York, where they started out as a "grown-up's business," according to Smithsonian magazine.
- Lemonade has been subject to inflation too, nearly tripling in price since 1980, according to the Federal Reserve of St. Louis' The FRED blog.
- The most money raised at a lemonade stand in 24 hours is more than $50,000, a record set in 2023, per the Guinness World Records website. All earnings from the stand went to the Breast Cancer Research Foundation.
- Lemonade stands are illegal in some states. Utah was the first to pass what's referred to as a "Lemonade Stand Law," which allows minors to occasionally operate businesses without a permit. Other states followed suit and passed similar laws, but not all states have, meaning lemonade stands are still illegal in some. Check here to see if your state allows stands without a permit.
