After supper, I remembered that we spoke with our daughter Zoey about setting up a lemonade stand on our street. She is a natural when it comes to money. As a matter of fact, when she was an infant, she grabbed my wallet and pulled out a credit card that happened to be the one that had the highest credit limit. My wife and I both looked at each other with a skeptical grin and laughed. As a dad I want her to have every opportunity to learn and experience what life has to offer, personally, spiritually and financially.
We sat at the dining room table with a pen, paper and an idea. We are big fans of Shark Tank, so this was going to be a fun project for us. I helped coach Zoey what to write and explained why we were writing it. I even coached her to write a mission statement. At first she didn’t understand but I asked her why she would buy lemonade from someone on the street. She then had the answer; “to drink something good and cool off from being hot” she said. You can read her business plan below.
“Zoey ZH inc.
Dba
Zoey’s Stand
Lemonade 89 oz
Pitcher
Cups 8 oz
1 Gallon of lemonade = 11 8 oz cups
1 8 oz cup price $1 = $11
Cost of lemonade $4.49 taxes $4.75
Profits per gallon $6.36
Mission
To make thirsty people happy with my delicious chilled lemonade!”
My daughter expressed the importance of putting an explanation point at the end because it was exciting. We wanted to share this with our community and the public, so that it could encourage other moms and dads to do the same. I feel that it’s so important to raise our kids to be young entrepreneurs and thinkers. My dad never had the chance to do this with me so I’m so grateful and proud to be able to do it with my daughter and my other kids when it’s their turn.
Please feel free to comment your thoughts below and share with your friends.
WAIT!!! Does Zoey have a one gallon pitcher of lemonade (128 ozs.) or some sort of kooky Big Lots/Dollar General-reject 89-ounce pitcher???
If it is actually a one-gallon pitcher, each pitcher would yield 16 8-ounce cups. If she’s cutting overhead by utilizing a deeply-discounted 89-ounce pitcher, then she has 1 ounce extra remaining from each pitcher, which equates to a bonus cup for every eight pitchers produced. (Provided of course, that there is absolutely no spillage throughout the production and serving of 88 8-ounce cups!)
And, of course, this neglects to take into account the $45.00 annual Broward County business tax receipt, the City of Hollywood local business tax (TBD), and State of Florida Reemployment Tax (if applicable). Oh, and don’t forget that “none of the state or federal regulatory agencies allow you to operate a food operation from your home.” So, Zoey will have to purchase or lease a suitable Mobile Food Dispensing Vehicle (“MFDS”) and apply with the Florida Department of Business and Professional Regulation for a Food Service license ($200.00 application fee) and the license fee itself ($347.00) (plus $10.00 charge for the Hospitality Education Program, which is used to fund “grants to one or more nonprofit statewide organizations that represent a hospitality industry.” And don’t forget about the income tax ramifications and insurances (if a customer or employee were to slip and injure themselves on spilled lemonade or a slippery crushed lemon). And then there’s always the possibility that our esteemed First Lady of the United States, Michelle Obama, will levy a tax/penalty/fine on business such as Zoey’s that contribute to the obesity epidemic of our Nation. Or perhaps Zoey could substitute stevia for the sugar, dramatically increasing the cost-per-pitcher, while at the same time decreasing the desirability and taste of her “delicious chilled Lemonade.”
Seems like a lot of hassle, right?? (Even in “business-friendly” Florida). Maybe it’d be easier just to not try to do anything ambitious, and wait for the “benefits” and “programs” to start rolling in. Or be a scoff-law and just do it all under the table.
Sorry to be Debbie Downer, but the ridiculous bureaucracy just gets under my skin!
Most of all, GOOD LUCK, ZOEY!