- Best overall small business point of sale system: Square
- Best POS for retail and e-commerce: Shopify
- Best restaurant POS: Toast
- Best for desktop compatibility: Lightspeed Retail
- Best iPad restaurant POS: TouchBistro
- Best for universal payment processor compatibility: Clover
- Best for high-risk businesses: KORONA POS
Digital tools simplify and streamline a lot in our lives. That’s the whole reason we buy them. But some purchases, like point-of-sale systems, constitute more of a risk than others. We can put up with a personal cell phone we’re not fond of, for example. The wrong point-of-sale, on the other hand, might do more than put the “POS” in POS, if you catch our drift.
It can directly impact the livelihood of small business owners.
While there’s no way to completely remove risk from that scenario, a little due diligence can go a long way toward mitigating the potential for buyer’s remorse. We’re here to give you a jump-start on your research for the best small business point of sale system, so you can also minimize the time investment required to find a hardware and software combo that meets your needs.
Best POS system comparison
Square: Best overall small business point of sale system
Our rating: 4.78
In 2009, Square broke into the market with a funny little headphone jack accessory. That is to say, its mobile card reader leveraged the headphone jack on those newfangled iPhones to enable card-present transactions from just about anywhere.
From there, Square has grown into a market leader in POS solutions, largely by designing its tools to be easy to use, suitable for a breadth of use cases, and compatible with as many pieces of hardware as possible.
As a generalist solution, Square leads the pack. That said, some industry-specific features may require add-on fees, workarounds, or integration with a third-party solution. It also struggles to support less common retail situations (like high-risk sales). So, keep those things in mind if you have deeper considerations than just swiping cards.
Why we chose Square
Square is easy to understand, use, and make the most of.
Its pricing structure is about as transparent as it gets. Square minimizes the need for large investments in POS hardware, and the system is broadly agnostic, making integration a lot less frustrating.
It won’t meet every need, but it covers most, and very few businesses will find Square completely unusable for their particular implementation.
Pricing
- Free: pay only the transaction fees, starting at 2.6% + $0.10 per transaction.
- Plus: starting at $29 per month, plus processing fees.
- Premium: custom pricing (plus processing fees).
About Square processing fees — Square breaks transactions into four categories: in-person, online, invoices, and manual entry. Fees scale up from the lowest with in-person payments, to the highest with manual entry (at 3.5% + $0.15 per transaction). Comparatively, Square’s card-present fees are on the lower end, but its other brackets climb quickly.
Finally, “manual entry” also includes using a customer card you have on file, making this platform more favorable for those selling in person and less favorable for businesses that intend to do a lot of e-commerce with repeat customers.
Note that custom processing fees are available for certain businesses processing over $250,000 annually.
Features
- Free version available.
- Free mobile card reader with signup.
- Broad compatibility.
- Invoices, retail- and restaurant-specific features, and online store functionality.
Pros and cons
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Shopify: Best POS for retail and e-commerce
Our rating: 4.68
If Square is the frontrunner for physical hardware and in-person POS solutions, Shopify is its counterpart when it comes to e-commerce. Known as a platform that supports countless online stores and digital-first businesses, Shopify is our pick for professionals who are just fine selling their offerings from a distance.
Shopify excels, especially where brands need to sell and accept payments across multiple digital channels, unifying their processing under a single banner. It integrates with just about any major platform or channel you might be selling on, through, or with. And if you need to facilitate in-person sales, Shopify can help you there, too.
While originally designed for online sales, Shopify’s equally robust POS system is more than enough for most retailers’ needs.
Why we chose Shopify
Not every solopreneur is setting up booths at farmers’ markets and local conventions. Some small businesses conduct most (or even all) of their transactions via strictly digital channels. These businesses will likely be better served by Shopify than Square and other in-person solutions.
And if you’re setting up shop on Main Street, Shopify has you covered there, too. Its retail POS system can be seamlessly combined with its e-commerce tools or used as a standalone solution. Either way, it has intuitive inventory tracking and customer relationship management tools.
Pricing
Shopify’s pricing model is a bit harder to parse than Square’s, and you may find it difficult to navigate without contacting its sales teams. There are a few different subscription tiers with distinct features and pricing. On top of that, card processing fees vary based on subscription tier, transaction type, and whether it’s run through a third-party provider.
POS pricing:
- POS Lite: core in-person POS functionality, included in every ecommerce plan.
- POS Pro: $89/month/location. Can be an add-on to e-commerce plans or a standalone solution.
E-commerce pricing:
- Starter: for selling on social, priced at $5 per month (paid monthly), includes POS Lite.
- Basic: core e-commerce subscription, priced at $39 per month (paid monthly), includes POS Lite.
- Shopify: upgraded e-commerce subscription, priced at $105 per month (paid monthly), includes POS Lite.
- Advanced: premium e-commerce subscription, priced at $399 per month (paid monthly), includes POS Lite.
- Plus: high-volume e-commerce subscription, priced at $2,300 per month, includes POS Pro.
- Enterprise commerce: custom pricing tier.
Features
- Best-in-class e-commerce functionality.
- Compatible with integration into nearly every major online sales channel.
- Support for multi-channel, multi-location businesses.
Pros and cons
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Toast: Best restaurant POS
Our rating: 4.50
Toast is a POS solution built specifically for restaurants and other foodservice businesses. It caters (pun intended) to the unique needs of brands in that vertical.
“Food service” is a fairly expansive category, covering everything from local cafes to fine dining establishments to food trucks and more. Toast is designed with these use cases in mind, helping them collect payments while providing top-notch service to their patrons.
Why we chose Toast
Though two other vendors on this list heavily favor businesses related to food and beverages, Toast offers the most comprehensive list of powerful, industry-specific features. Staff management, HR, payroll, invoicing, online ordering and delivery—not to mention a free tier “Starter Kit,” complete with a POS hardware bundle at no upfront cost.
Pricing
- Starter Kit: $0 per month, includes a single hardware configuration package, but higher processing fees apply, as do charges for add-ons and additional hardware.
- Point of Sale: starting at $69 per month, includes custom hardware configuration.
- Build Your Own: custom pricing.
Note, Toast only operates on the company’s proprietary, Android-based hardware. While this could be seen as a downside for those who prefer the user-friendly interface of an iOS system, Toast’s hardware is industry-grade and designed to withstand the heat, spills, and bumps typically found in a restaurant environment.
Features
- Free hardware included in the Starter Kit.
- Industry-specific features, like online ordering, delivery and scheduling.
- Add-ons for team management, payroll, invoicing and more.
Pros and cons
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Lightspeed Retail: Best for desktop compatibility
Our rating: 4.31
Lightspeed Retail is a standout in circumstances that require a complex product catalog. Its browser-based toolset can be easily used on macOS or Windows desktop devices, and its functionality includes robust inventory management tools, extensive analytics options, marketing and loyalty solutions, and more.
For businesses with multiple locations, more expansive offerings, complex supply chains, and similar concerns, Lightspeed Retail can offer more comprehensive coverage.
Why we chose Lightspeed Retail
Lightspeed caters to a slightly different target market than other entries in this list (just the fact that its website specifically mentions “golf” as a distinct business type proves this). With a much broader suite of available features and functionality, it’s better suited than most to serve as an all-in-one solution for retail businesses.
Not every small business needs the rich feature set Lightspeed offers—other entries on this list are likely a more optimal fit. But some of you reading this do probably need more than just a card reader and a receipt printer. If so, we recommend looking at Lightspeed Retail.
Pricing
Lightspeed bases its pricing on where businesses are headquartered, how many locations they operate, and how many registers they need. The figures listed below are based on their pricing for US businesses, with one location and one register.
- Basic: $109 per month (paid monthly) or $89 per month (paid annually).
- Core: $179 per month (paid monthly) or $149 per month (paid annually).
- Plus: $289 per month (paid monthly) or $239 per month (paid annually).
Features
- Browser-based system, compatible with Windows and macOS.
- iPad register app is also available.
- Integrated e-commerce tools.
- Robust inventory management and workflow functionality.
- Vendor and PO management native on the platform.
Pros and cons
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TouchBistro: Best iPad restaurant POS
Our rating: 4.18
Setting up POS hardware might feel a little intimidating. After all, dealing with proprietary equipment is usually a hassle and a headache rolled into one — and that’s if you don’t have to wait for an authorized tech to show up and put it all together for you.
This isn’t necessarily the case with all (or even most) POS solutions these days, but it’s an understandable concern. For some businesses, it would be a lot easier to just buy a stack of iPads, load them up with the needed software, and hand them out to the staff.
That’s exactly what TouchBistro does for foodservice teams. Its POS solution is designed to be easy to learn, implement, and use. Plus, you don’t need specialized hardware or devices.
TouchBistro (as the name might imply) can be run right from an iPad touchscreen. In other words, deploying the POS can be almost as simple as running to the nearest electronics store for a bundle of Apple products.
Why we chose TouchBistro
Square’s straightforward implementation is a major reason it made the list. The same is true for TouchBistro, but specifically for cafes, bars, and food trucks. An iPad is a relatively common business purchase regardless of industry, and it can usually be found in stock at local stores. The tablet makes for a convenient display, device, and customer-facing interface all in one.
TouchBistro makes it easy to turn these devices into all-in-one POS terminals. Patrons can even order their food via the system — that’s the level of simplicity and convenience on offer here.
Pricing
TouchBistro refrains from publicly listing most of its pricing, offering that information by quote instead.
However, the company does explicitly state the POS software subscription costs: $69 per register, per month.
Features
- Menu, floor/table and staff management.
- Tableside ordering.
- Native analytics and reporting tools.
- Supports multiple different payment processors.
Pros and cons
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Clover: Best for universal payment processor compatibility
Our rating: 4.16
“Is it compatible/does it integrate with ‘X’?” is a common question regarding technology solutions. POS systems are no different, especially when it comes to payment processing.
Any business with a merchant account will already be committed to a payment processor in some manner, and switching for the sake of a POS isn’t always easy or even desirable.
Clover helps with this problem. Although it doesn’t offer the same flexibility in functionality or hardware options as others on this list, it makes up for that in its customizability to accommodate just about any payment processing service — as long as it is on the Fiserv network.
So, if you’ve secured some killer processing rates and don’t want to give them up, Clover can make it easier to connect them to your POS tools.
Why we chose Clover
The value proposition of keeping your existing merchant account or being able to shop around for different rates is reason enough for Clover to make this list.
Features, hardware, and pricing are all great things to mention when pitching a B2B solution. But, for some buyers, compatibility will always be the most critical factor. For those in that category who absolutely need their processor to come with them wherever they go, Clover is your best bet.
Pricing
Clover pricing varies by industry, with separate pricing figures for the following:
- Full-service dining.
- Quick-service restaurants.
- Retail shops.
- Professional services.
- Personal services.
- Home and field services.
In each category, pricing is broken into three tiers:
- Starter.
- Standard.
- Advanced.
Additional details:
- Device costs for upfront purchase start as low as $49 (or free, if you’re using your own device). After purchase, you’ll only pay the recurring monthly subscription fee.
- Payment plans roll device costs into monthly subscription fees for the duration of the payment plan. Clover’s least expensive payment plans start at $50 per month.
- In either case, once your device is paid for in full, you’ll still be charged a monthly subscription fee based on your tier (again, tied to the type of device you chose). Subscriptions run as low as $14.95 a month on the low end.
Note that these are the prices if you purchase directly from Clover. Purchasing the POS from your existing merchant account — or another payment processor — will likely result in different prices and contract terms.
Features
- Integrate with virtually any payment processor.
- Sign up for a POS system and hardware package at no upfront cost.
- Manage inventory, staff, and customer loyalty from the same POS system.
- Processing fees are among the lowest on this list, starting at 2.3% + $0.10 per transaction.
Pros and cons
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KORONA POS: Best for high-risk businesses
Our rating: 4.16
Some sales simply don’t fit into the models that other POS solutions are built around. Some products require age restriction. Some services and events are time-sensitive. Some foodservice operations fall under the umbrella of a larger event organization (like concessions at a carnival).
KORONA serves these highly nonstandard businesses in ways that other picks on this list are just not designed to support. From wineries and liquor stores, to theme parks and museums, to antique shops and thrift stores, KORONA is a far better fit for the challenges that make these businesses unique.
Why we chose KORONA POS
Even a feature as simple as age restrictions on sales can be surprisingly hard to come by. For that feature alone, KORONA deserves a spot on our list. It is our top pick for any business that deals with:
- High volumes of heavily regulated products.
- Seasonal, time-sensitive, or migratory businesses.
- Ticket-based operations (fairs, theme parks, museums, festivals, etc.).
- High-risk or highly varied inventory (unique/one-of-a-kind items, etc.).
Pricing
KORONA only has two subscription tiers, but there are a host of add-ons tied to specific functions and industries:
- KORONA POS Core: $59 per month.
- KORONA POS Retail: $69 per month.
- KORONA Food: add-on; +$10 per month, per terminal.
- KORONA Plus: add-on; +$20 per month, per terminal.
- KORONA Invoicing: add-on; +$10 per month, per terminal.
- KORONA Ticketing: add-on; +$50 per month, per gate.
- KORONA Franchise: add-on; +$30 per month, per franchise.
- KORONA Integration: add-on; +$45 per month, per token.
Features
- Choose your own processor, with no add-on fees for using a third party.
- No free tier, but KORONA offers an unlimited free trial.
- Functionality to support high-risk, nonstandard and uncommon sales dynamics.
Pros and cons
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How do I choose the best POS system for my business?
Now that we’ve reviewed the contenders, let’s lay out some foundational details for choosing between them.
Subscription pricing
If you’re reading this, subscription pricing is almost certainly a consideration for you and your business. The good news is, generally speaking, that this is one area of digital B2B solutions where you can actually get some public-facing pricing information.
Finding easy-to-understand pricing information is another matter.
Many providers charge monthly subscription fees, though not all of them (like Square). Some have a free tier, and a few have free trials. And some break up their offerings into tiers, add-ons, packages, and so forth.
If you need to go as inexpensive as possible, be aware that for systems with subscription fees, you’re likely to see restrictions on features and functionality hand in hand with any discounted offerings.
You’ll want to have a shortlist of the most critical functions you need the POS to be capable of (that aren’t foundational functions, like swiping a card, etc.). Then, double- and triple-check that the subscription you choose includes it.
Bonus points if you pick one that allows you to cancel anytime, get a refund, or otherwise minimize your exposure to risk when testing it out.
Transaction fees
All POS systems will have transaction fees, even if they’re rolled into some other cost for simplicity’s sake.
What isn’t readily apparent is that you’re being charged that fee at a markup. Vendors have a profit margin on the transaction fees — in some cases, this constitutes their entire revenue structure.
Similarly, you might not be aware that markups vary by vendor, transaction type, industry, and several other factors.
Some of this is justified, even if only partially. Markups may be in place to bankroll the whole operation (as already mentioned) to cover inherent risk in the transactions (chargebacks, etc.), finance POS hardware you’re using, and so forth.
Some of it, though, is just a widening of the profit margin.
In other words, if you’re already dealing with slim profit margins yourself (like in food services) and high transaction fees are a worry, compare POS offerings based on those fees, specifically.
Hardware costs and more
Odds are, you don’t just need an app to run payments and track finances. You actually need physical tools to accept forms of payment and maybe do things like print receipts or tender cash.
What kind of hardware you’re using or need to use, though, well, that’s up to you. Different POS vendors will serve you better or worse, depending on whether you need a full cashier register, a simple customer-facing display, or just a smartphone with the relevant app.
A number of providers include POS hardware in their price of admission. Square sends you a free card reader that hooks up to your phone, for example. Others will bundle up hardware sets as an add-on or as a baked-in part of their pricing structure. Others will still allow you to bring your own device, though that may come with compatibility-related limitations.
As a general rule, though, you can expect to get away with free or low-cost options if your payments can be run through a smartphone app. For more elaborate, complex POS setups, expect to pay for the hardware in some fashion if you’re not repurposing something you already have.
Scalability
The needs of a small cafe with a single cash register differ from those of a growing retail business with multiple locations. Likewise, different vendors will serve said businesses at different levels of effectiveness.
So, when picking a POS system, first identify how complex your situation is now, then consider how it might grow and evolve in the near future. You’ll want a vendor that can meet your current needs at a reasonable price. But you don’t want to necessarily prioritize an inexpensive solution over one that will continue to be useful as your needs change over time.
Compatibility
Compatibility issues can really throw a wrench into the works, and they’re not always easy to get around. In some cases, there’s no viable solution at all that’s worth the cost involved. But unless you have a great deal of experience with computer systems, fintech, and other aspects of this particular niche, you might not know what to watch out for.
Consider compatibility with your chosen POS along the following axes to make your life a bit easier:
- Other financial apps you’re currently using (bookkeeping, payroll, inventory, etc.).
- The hardware you want to use it on (devices you have on hand, third-party devices you plan to buy, or proprietary hardware to make things simple).
- Payment processors you currently use.
Some solutions will be more “agnostic” than others, meaning they rely less on proprietary interactions and are interoperable with a wider range of options. How much that matters will depend on how you intend to use the POS.
Industry fit
This one can either be a non-issue or a major concern. Some business models just aren’t very analogous to others. Some have to worry about inventory, like retail outfits, restaurants, or mechanic shops. Some have to handle shipping, delivery, or other forms of logistics. Some have set, predetermined costs, while others have to be able to accommodate highly variable pricing.
And that’s all just the tip of the iceberg.
Broadly speaking, retail tends to be the most commonly served vertical, with ecommerce being what it is in the modern age. Meanwhile, food services often have particular needs that are less commonly covered (like reservations, seating, tips, etc.). And some businesses deal in high-risk transactions that are not well served by most of the POS options on the market.
Customer support
We’ll conclude this section with a quick mention of your status as a customer, since your customers can’t get what they need from you unless you can get your POS system to work.
Ideally, you’d be working with a provider that offers 24/7 live support from real humans you can actually talk to. And preferably, the vendor would have a long track record of dependable uptime. This is especially true if your business often processes sales outside standard office hours.
Put another way, the last thing you want at 9 p.m., Pacific time, on a Saturday is for your POS kiosk to go down and your vendor to tell you they’ll get back to you first thing Monday morning.
Methodology
To find the best POS system for small business, we reviewed candidates based on critical core factors, including pricing, software features, hardware options, user experience, and reliability. We consulted branded marketing, review aggregator sites like G2, hands-on demos, and free trials, as well as feedback and reviews from current and past users.
We paid particular attention to areas of functionality that were non-standard, if they were mentioned in the brand’s marketing as an available feature, and whether or not reviews indicated it worked as described.
It’s always difficult to get a comprehensive picture of what a tech solution has to offer, especially when you’re not in a position to field test it directly or explore how it performs in different niche use cases. We’ve done our best to close that gap here and “fumble in the dark” on your behalf, to help you avoid doing the same at much greater opportunity cost.
This article and methodology were reviewed by our retail expert, Meaghan Brophy.
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