It is summer, and kid’s lemonade stands are popping up everywhere. Lemonade stands teach so many great lessons: responsibility, money management and perfecting a product (lemonade).

We thought it would be fun to interview a business expert to give kids advise on starting a business— so we reached out to Erin Igleheart, Program Director at Emory University’s Start:ME Accelerator. Erin’s job is to help people build successful businesses and she has worked with hundreds of entrepreneurs across metro Atlanta.  

It’s summer, and kid’s lemonade stands are popping up everywhere.. What are the three most important things kids need to know about a lemonade stand… or any business? 

First, anyone can be an entrepreneur (a person who decides to create a business). Entrepreneurs solve problems, take risks, fail but try again, and learn from their experiences. Young people are great at that - they see problems adults might not see and think of solutions adults might not think of.

Second, entrepreneurship is about taking an idea and turning it into a profitable business. What does that mean? Simply that your sales (or the money that you make from selling something) are more than your costs (how much you had to spend to make it).

Third, everything about the business should be driven by the customers (who you’re selling to) - what you sell, how you sell, where you sell, how much money you charge.

What makes a great business owner? 

Great business owners know what “problem” they’re solving for customers. They ask questions, understand what buyers want, and then create a product or service that meets those needs, not the other way around. 

For your lemonade stand, think about who you’re planning to sell to - Is it your classmates walking back from the bus stop? Thirsty walkers and joggers? Shoppers heading to a weekend farmer’s market? Families looking for a sweet treat? Those customers may want different things from your lemonade - an inexpensive treat, a healthy drink, a bottled product to take home, etc.  The best way to find out is to ask them!

What’s a mistake that many business owners make? 

It can take a lot of time to run all of the pieces of the business - making a product or delivering a service, selling to customers, building your social media, keeping track of your money, and more. One mistake I see business owners make is not valuing their time. By that I mean they treat the hours they spend on the business as if they aren’t worth anything or are free. But their time is valuable and it is limited. Business owners have to think about what they would pay another person to do that activity - so what would it cost to pay someone else to spend an hour (or 5 or 10) building a website or taking good photos or setting up displays in a store. They have to make sure they’re charging enough to cover all of their costs, including their time.

When you’re running your lemonade stand, think about the time that it takes you (and others) to run the business - that may be making lemonade, coloring signs, setting up your table, selling at the end of your driveway. Counting your time may impact how much you charge for lemonade to be sure you get paid for that too.

Do you feel that it’s important for businesses to give back to their community? 

Absolutely! Local businesses DO give back to their communities - they serve local needs, they earn money for the owners, they create places to meet, they might create local jobs. And they can give back on top of that in a lot of different ways. 

Think about what you and your customers are passionate or excited about. Is it making sure everyone feels included? Then for every glass of lemonade you sell, you could give one away to someone who wants it but might not be able to pay for it. Is it caring for the Earth? Then you could give some of the money you earn to a community garden or local park. 

There isn’t one right way to give back, but it’s great to build generosity into your business and do it in a way that truly helps others.

Note: Our featured Farm to Home kit is Lemonade Stand. This kit includes:

• Citrus squeezer + Yummy honey

• Delicious lemonade recipe (with herbs!)

• Kids’ Guide to Starting a Lemonade Stand

• Information on Alex’s Lemonade Stand

• Sticker & magnet

• Farmer & veggie card