Business Advice | blog.firstffcu.com

Long before Beyoncé transformed it into a cultural touchpoint, lemonade was the commodity of choice for childhood business ventures. Perhaps you had a lemonade stand of your own, or maybe you just knew someone who did. Either way, the memories of ice-cold refreshment probably ride on a warm wave of nostalgia. If your enterprise was especially successful, you might even hear a faint “cha-ching” as you reminisce.

Fast forward a decade or two, and now you find yourself juggling the demands of family, friends, and career. Thanks to the latest technology, it’s easy to let your kids spend their summer vacation drifting along on a digital stream of Snapchat streaks and Fortnite marathons. With the dog days of summer approaching, you have a perfect opportunity to shake up your child’s summertime routine with a little old school entrepreneurship. It’s time to bring back the lemonade stand!

Let your kids in on the fun. When you were young, running a lemonade stand didn’t feel like a job—it felt like freedom. So, don’t worry that encouraging your children to work will somehow rob them of their summertime fun. The venture can be fun, and the lessons they learn from operating a small business can last a lifetime.

Goal setting

Believe it or not, this one comes pretty naturally to kids. If you ask them what they want to do with the money they earn, they’ll probably have at least one goal already in mind. It may be a video game, a bike, or new clothes, but whatever it is, their motivation won’t be hard to find. When they finally save up enough to buy what they want, the sense of accomplishment will be something you can build on for the rest of their life.

Entrepreneurship

Operating a lemonade stand is an excellent way to help your children learn that it costs money to create something. After all, lemons and sugar aren’t free. Understanding economic concepts like cost of goods and profit margins, will give your kids a valuable perspective with real-world applications. As they plan their drink prices, let them decide what to charge. Positive or negative, the lessons they learn from experience will help them with future budgeting.

Responsibility

Like many things in life, lemonade stands are super fun at the beginning! But after a few hours sitting in the sun or waiting out a thunderstorm, there’s a pretty good chance your little entrepreneur will want to close up shop. While it may be frustrating (for you and them), this scenario provides an excellent opportunity to teach them that you can’t just walk away when you get bored. And let’s be honest, we can all use this reminder from time to time, can’t we?

Creativity

Challenge your child to think about how to separate themselves from their competition. (Of course, this may be hypothetical competition since modern-day lemonade stands are probably few and far between). Depending upon their age, your little one may focus on colorful sign design at first. This focus is understandable, since making the sign is half the fun. But beyond that, feel free to offer creative suggestions. Could they provide a sugar-free alternative? Maybe offer an iced coffee alternative to appeal to more customers? How about spreading the word with a social media post? Should they accept payment through Venmo or PayPal, or just keep it cash only? Like a child’s imagination, the options are limitless. So is the fun!

At this point, you may feel like opening up a lemonade stand whether your kids are interested or not! Channel that excitement and energy into helping them see the fun-filled potential of the idea, and don’t be afraid to get in there and help them when they need it. The time spent together will be even more valuable than the money earned and the lessons learned.

Happy summer lemonading!

We at First Financial want to help you achieve your dreams of owning your own business using safe and realistic steps to guide you. Over the coming weeks, our business experts will provide step-by-step advice on how to get started. We can’t promise it’ll be easy to get started—but we can promise that we’ll be here every step of the way to get you to your destination.

Step One: Form an intimate relationship with your industry

It’s important when starting your own business that you’ve experienced it at the employee level. When you take the time to involve yourself in the industry, you are able to determine if it will be something that suits you and this economy. The fewer surprises, the better. Plus the experience not only provides you with knowledge and preparation, but also with credibility, which can help you market your business and secure financing.

Tip: Want to open a business in which you have no industry experience? Don’t let that deter you! If it’s feasible, take a year to throw yourself into it. In the long-term, proverbial “big picture.” You’ll benefit from taking that extra year (or two!) to immerse and educate yourself in what the industry involves. Take notes along the way. Ask questions of your supervisors and coworkers. Create a journal of all that you do so you can use this information not only in starting your business, but in later years to assess how far you’ve come.

Step Two: Create a concept and research, research, research!

Just as you can never have too much experience, you can never do too much research. Use resources both on-line and locally to provide you with a well-rounded assessment of your industry in your area. Check out your potential competition—their websites, pricing, products and how they market themselves. Decide what you like and dislike about each of these categories, and even ask what your friends and family think about it! These can help you decide how you want your company to be conveyed, and how it can set you apart from the rest. Check out if there are any local groups that specialize in networking specifically for your potential industry. Check out Chambers of Commerce in local towns where you can also meet up with industry professionals. But don’t forget to hit the books as well! What kind of literature can you find on your business venture?

For Monmouth and Ocean Counties, not only do you have First Financial as a resource, but you also have SCORE, Monmouth Ocean Small Business Development Center (MOSBDC), and others. SCORE is a nonprofit association that provides advice and guidance to entrepreneurs. While they are a national association, they have a chapter here at the Jersey Shore. For more information on how they can help your business grow, go to www.score.org. MOSBDC is a national network of universities and colleges that advise small businesses. Locally, they have offices at Brookdale Community College and Ocean County College. Their website is www.mosbdc.com. These are only two examples of organizations that dedicate themselves to helping small business owners start and flourish.

Tip: Don’t overwhelm yourself! This sounds like a lot, so start off slow with 1 hour per day of research, and maybe 2-3 hours per week of networking and face-to-face research. (Just 10 hours per week to become more learned for your business path? Sounds like a deal!).