Guide

How to Run a Lemonade Stand: A Kid's Guide to Making Real Money


Running a lemonade stand is one of those classic kid experiences that teaches a lot that books just can’t cover. In a few hours, kids learn how to create basic products, set prices, pick strategic locations, talk to strangers, and make change. And at the end they walk away with the thrill of having earned real money, which reinforces the value of those practical lessons. 

For the last few summers, we’ve helped our kids set up a lemonade stand at least a few times in different locations and we’ve learned some things along the way. In this post, we’ll cover what you need to get your little tycoon on the road to success.

Step 1: Build Your Stand

It doesn't need to be complicated or expensive. If you don’t want to make something custom, just get a small folding table with a tablecloth. BUT, keep in mind that building something can be part of the learning experience. 

This year, we went with a piece of plywood on top of a heavy duty cardboard box. I used some 2x3 studs and a trimmed down fence board to make the sign on the top. Add a bit of spray paint and markers and you’re good to go. The homemade look is actually an asset because people find it charming and are more inclined to stop.

Kids at a lemonade stand


Beyond the actual stand here are some other supplies you’re going to need: 

  • A lemonade dispenser (get cheap plastic ones the kids can clean themselves) 
  • A cooler for ice
  • Disposable cups
  • A flyer with your prices and Venmo QR code 
  • A money bag or small cash box

Step 2: Mix Up Your Lemonade and Cookies

Lemonade is obviously the best starting place. We typically get regular lemonade and pink lemonade concentrate from the grocery store and let the kids mix it up. Don’t forget to bring Ice. 

Kid mixes lemonade from concentrate


Beyond lemonade, there are actually a lot of other items you can experiment with too. We’ve tried homemade cookies, popsicles, button pins, and 3d printed fidgets. As a general rule, if it is really hot out then ice cold lemonade and popsicles sell the best. If the weather is cooling off, then cookies can actually do quite well. We thought the button pins and fidgets would be a hit, but honestly, sales have always been really spotty for those. Not worth the extra effort IMO. 

Keep in mind that the more work you have to put into prep, the less likely you are to find time/energy to help your kids multiple times during a season. So go simple. Focus on things the kids can do mostly on their own.

Step 3: Pick Your Location

This is the most important decision you'll make. A great product in a bad location makes no money. A decent product in a great location makes good money. Like really good money.

What you're looking for: people who are hot, active, and ideally have kids with them. Kids who spot a lemonade stand will absolutely work on their parents until they get one. Hot and sweaty adults are easy sells on a warm day too.

Over the years, we’ve tried various playgrounds and parks. By far the most success we’ve had is at a mountain biking park on a day when school clubs meet to practice. Dozens of hot, sweaty riders coming off the trail, many of them with families. On our best day the kids made about $75 gross in about 2 hours. 

Lemonade stand at a biking park


If you go somewhere and don’t get many sales, don’t give up. It is part of learning. Just try somewhere else next time. Think sporting events, parks with active use, busy walking paths, or anywhere families gather outdoors on a warm day.

If you’re in a busy neighborhood, then setting up in your driveway might work for starters. But it will likely be pretty slow. The best luck we’ve had with this was during a neighborhood garage sale. Typically you should go where the people already are.

Step 4: Selling Your Lemonade

Tips for Kids

This is where your kids can learn customer service skills that will serve them for the rest of their lives. Full stop. Here are some of the things we work on: 

Be friendly and make eye contact. Don't just stand there staring at your phone. Greet people as they walk by. A simple "Lemonade? Cold popsicles?" is enough to get people to stop.

Speak clearly. When people come up, ask what they would like. Be clear what things cost, and transparent in counting out change. Always say thank you as people walk away.

Selling lemonade and collecting change


Set reasonable prices.
Keeping prices low makes it a no-brainer for folks to stop by. We’ve found a lot of adults will tip or say “keep the change” just to help out too. So we charge $2 for a cup of lemonade and $1 for a popsicle. Probably depends on where you are though.

Make change. Younger kids are going to struggle when someone inevitably walks up and hands them a $20, but only step in if you absolutely have to. Making change is great math and money handling practice. 

Keep the stand stocked and organized. A messy stand with an empty cooler sends people away. Keep things tidy and make sure drinks are cold and visible. Also, ensure they aren’t sticking their hands in the cups or anything less than hygienic. 

Tips for Parents

Let the kids run it. Your job is logistics and backup, not sales. As a parent, it can be really tempting to step in whenever things aren’t perfect, but resist the urge. Your kids will learn a lot more by being independent. Most customers will be patient and understanding. 

Make kids pay for supplies. A really important business lesson is buy low, sell high. Teach your kids to spend a few dollars on supplies then turn those supplies into a lot more money. This makes it less like money falling off a tree and more like a very simple, but very real business. 

Buying lemonade concentrate from the store.


Help kids set goals.
Making money is great, but if kids are saving up for something specific then it will be a lot more exciting once they finally earn it. This can also keep them motivated over multiple sessions.

Step 5: Counting Up The Money

One hour prep, one hour at the bike park. $45 in total sales. $11 back to Dad for supplies. $34 in profit. Not bad for two hours of work. Those are numbers from our most recent lemonade stand. Some days the kids will rake it in and some days you’ll barely break even. That is also a valuable lesson. Embrace the ride, it is part of business. 

A lemonade stand is one of the best real-world projects you can do with kids. It's low cost, low risk, genuinely fun, and teaches money, sales, and basic business in a way that no classroom can replicate. Set one up this summer.

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