Scotty and his grandfather Gus are the proprietors of a sidewalk lemonade stand. The small operation struggles to compete with the ornate sidewalk diner run by Leonard's father. Leonard is too engrossed in his comic book to pay attention to waiting customers, and when they leave he whines to his father, who gets a policeman to force Gus and Scotty from their corner. Buckwheat's father, a boot black, offers Gus room to set up his stand, while Spanky, Alfalfa, and the other kids stage a parade and an impromptu talent show to draw customers to Gus's booth.