The increasing occurrence of problematic soils exhibits construction challenges. Geosynthetics plays a crucial role in enhancing soil properties and can effectively improve the bearing capacity of structures erected on sandy ground. Therefore, the main objective of this study is to investigate the effect of latex-coated coir needle felt reinforcement on the bearing capacity ratio and settlement reduction factor of a shallow foundation in a sand bed. Model plate load tests were carried out using a square footing of size 200 mm and thickness 25 mm over a sand bed reinforced with uncoated, single-side latex-coated, double-side latex-coated coir needle felt each having 1000 GSM in a test tank of dimension 500 × 500 × 500 mm. The parameters investigated were top spacing ratio, number of layers of the coir needle felt in planar layout. The bearing capacity of reinforced sand was increased by about 23.8%–61% than unreinforced sand. The settlement reduction factor of reinforced sand was increased by about 10.54% to 32.27% than unreinforced sand.