Startup costs are $2,000 – $200,000. Costs include business registration fees ($750), legal expenses for licenses and permits ($3,300), equipment, ingredients, and renting a location. Rent costs vary greatly by region and location. A lease in Manhattan could cost over $80,000/month while in other states it may cost under $1,000/month. Profitability also depends significantly on location. Ingredients for 16 ounces of lemonade cost under $0.50. Selling 16 ounces for $5 yields over $4 in profit per cup.
A good rule of thumb is to charge between $1 and $2 per cup. If you’re using fresh lemons, fresh ice and large glasses, you could probably charge $1.00 to $1.25 per cup.
Yes, technically you do need a vendor’s permit to sell lemonade in pretty much any community around the country.
A lemonade stand starts strong if it’s located in a safe, accessible area with high foot traffic.
Once your lemonade stand business gains traction, consider expanding offerings at local events, farmers’ markets, or even wholesale to restaurants and cafes. By continuously innovating and expanding, you can take your lemonade stand business to new heights.
On the lower end, children simply need a few pounds of lemons, some sugar, enough cups to get through the day, and a cardboard sign.