 A lemonade stand organized by kids in Montgomery County, Maryland resulted in a fine. (Stock image: Getty)
|
Kids' charity lemonade stand shut down by authorities
20/06/2011 10:50:00 AM
by Sameer Vasta
They wanted to sell lemonade to make money for charity, but instead they were issued a $500 fine. Let's re-examine the way we deal with permits and licensing so we encourage our children to be entrepreneurial.
Stop me when you've heard a similar story before: a group of kids in
Montgomery County, Maryland opened up a lemonade stand to raise money
for pediatric cancer. Realizing that they didn't have a vendor's permit,
authorities shut down the charity lemonade stand and issued a $500 fine.
It's easy to be outraged at these kinds of stories (cupcakes, anyone?);
after all, these children are showing an entrepreneurial spirit and
doing something productive with their time instead of causing trouble.
Enforcing permits on lemonade stands sounds counter-intuitive when there
are bigger fish to catch and fry.
But then again, it's also easy to see
the other side: business is regulated in this country, as is food
distribution and safety. Permits are important because they help control
fraud and food-related health issues, whether at a lemonade stand or a
streetside hot-dog vendor.
Today, I'd like to propose a solution
that the provinces here in Canada can take up so we don't have the same
kind of reports north of the border: a "my first weekend small business"
permit.
I haven't thought through the specifics of the permit
just yet, but the concept is simple: children looking to open up a
lemonade stand or other small business that lasts for a day or a weekend
go online to apply for the permit. The permit is limited to children
under the age of 13, and the form asks them some basic questions: what
are you selling, where are you getting the goods, where will your stand
be set up, and where will the money be going? They answer four or five
quick questions, enter their parent or guardian's contact information,
and get a page that they print out and put on their stand with all the
details and disclaimers necessary. The whole process shouldn't take more
than a few minutes.
This works for a few reasons: first, it
ensures that all the necessary disclaimers (particularly around food
safety issues) are printed and posted predominantly at the stand.
Second, it teaches kids about the process of creating a business — and
how the government interacts with the way businesses operate — without
bogging them down in all the details. Third, it makes enforcement easy:
if an authority sees a stand without a permit, they can just point them
to a simple URL to print out a permit in minutes.
There may be
many reasons why this may not work; I'm just thinking out loud, and I'd
love to hear your thoughts on the idea. What's clear is that while
business and food safety regulation is important, it also doesn't make
sense to be fining children $500 for setting up a lemonade stand.
It's time to come up with new solutions. I've proposed one, but would love to hear about yours.