What’s better than a cold glass of lemonade in the summer sun? With summer upon us, lemonade stands are in the news once again. Texas passed a law permitting the sale of lemonade or other nonalcoholic drinks at stands on private property. How does North Carolina handle lemonade stands? Previously discussed by Lord & Lindley, perhaps it is time for a refresher on the legality of this refreshment.
Laws, Permits, and Ordinances, Oh My!
Setting up a lemonade stand may seem like it should be simple; however, the regulations young entrepreneurs must understand and comply with may leave a sour taste.
Some states require a business license, obtained by registering a business with the Secretary of State and receiving approval to conduct business. The North Carolina state government website provides useful tips to determine if registering a business is required (hint: it almost certainly is).
In North Carolina, certain counties also require Public Health approval. Conversely, in Mecklenburg County, “temporary food establishments” – which can include lemonade stands – are not required to obtain a permit from Mecklenburg County Public Health.
North Carolina lemonade stands may also need to comply with local fire codes. For example, if a lemonade stand is covered by a tent or canopy in excess of 400 square feet, Mecklenburg County requires the Charlotte Fire Department to issue a permit in advance of use. For uncovered or small stands, however, Mecklenburg County does not impose any fire code requirements.
Don’t forget to check the local zoning ordinance. If a lemonade stand is set up on private property, such as the driveway or front yard of a home, the lemonade slingers will likely only need permission from the homeowner. However, if the stand occupies public property, such as a sidewalk or street corner, the juice jockeys may be at risk of violating zoning ordinances.
Finally, be wary of self-employment taxes, which require income of $400 or more to be reported. With the right location in a hot Charlotte summer, there may be more than a few Form 1040s submitted by sales-savvy schoolchildren.
Discouraged? Feeling like life is handing more than a fair share of lemons, and making lemonade would be legally unfeasible? Help is available. Food company Kraft Heinz founded Country Time Legal-Ade to assist with any fines for failure to comply with the many rules and requirements imposed on lemonade stands. What a refreshing idea!
To speak with an experienced attorney about small business ventures, please call us at (704) 457-1010 to schedule a consultation. For more information regarding our firm, attorneys, and practice areas, please visit http://www.lindleylawoffice.com/.