The Forbes Advisor editorial team is independent and objective. To help support our reporting work, and to continue our ability to provide this content for free to our readers, we receive payment from the companies that advertise on the Forbes Advisor site. This comes from two main sources.
First, we provide paid placements to advertisers to present their offers. The payments we receive for those placements affects how and where advertisers’ offers appear on the site. This site does not include all companies or products available within the market. Payment Terminal
Second, we also include links to advertisers’ offers in some of our articles. These “affiliate links” may generate income for our site when you click on them. The compensation we receive from advertisers does not influence the recommendations or advice our editorial team provides in our articles or otherwise impact any of the editorial content on Forbes Advisor.
While we work hard to provide accurate and up to date information that we think you will find relevant, Forbes Advisor does not and cannot guarantee that any information provided is complete and makes no representations or warranties in connection thereto, nor to the accuracy or applicability thereof.
The best point-of-sale (POS) systems do more than just process transactions. These systems can also streamline your daily workflow by combining tools such as employee scheduling, customer loyalty programs and inventory tracking into one sleek platform. Granted, choosing the right system can be a challenge. That’s why we analyzed leading providers across various metrics to bring you this list of the best POS systems for small business in 2023.
$7 per month for casual sellers $51 per month ($38 per year) for retail sellers
Syncs with Shopify online store, smart inventory management
The Forbes Advisor Small Business team is committed to bringing you unbiased rankings and information with full editorial independence. We use product data, strategic methodologies and expert insights to inform all of our content to guide you in making the best decisions for your business journey.
To find the best POS systems for small businesses, we considered over 20 of the top POS providers in the space and narrowed it down to 13, which we then evaluated across three key categories and 12 different metrics. Our ratings consider factors such as transparent pricing, employee self-sufficiency, compatibility with third-party integrations, access to customer support and ratings. All ratings are determined solely by our editorial team.
Versatile POS, invoicing, employee management
Versatile POS, invoicing, employee management
Clover offers a wide range of plans and pricing options to fit any budget, although its hardware costs are high. When you apply for a Clover Account without purchasing hardware, you can enjoy a 90-day trial period where the monthly software fee is waived, which serves as its free trial. It is easy to use and has a host of features that can help businesses of all sizes manage their transactions more effectively.
One of the biggest benefits of Clover is its integrations. There are hundreds of software apps available in the Clover App Market that can manage various aspects of a business. These apps integrate seamlessly with Clover devices, making it easy for businesses to get started.
Who should use it: Clover is a good point-of-sale system for businesses of all sizes. Its wide range of features and integrations make it a versatile solution that can be tailored to fit the needs of any business.
Learn more: Read our Clover POS Review
$69 is the hardware starting price (plus processing fees)
Easy to use, free reader, create customer loyalty programs
$69 is the hardware starting price (plus processing fees)
Easy to use, free reader, create customer loyalty programs
Square POS is a great option for businesses that are on a budget because it has no monthly fee—just pay the reasonable processing fee of 2.65% for all major credit card transactions and 0.75% plus $0.7 per every Interac chip and PIN or tap transaction. The hardware starts at $69 It’s simple to operate and doesn’t require any training to get started.
Take payments in person, over the internet, by phone or at the farmer’s market. Collecting leads, marketing via email or text, and creating customer loyalty are also possible with this point-of-sale system.This software is perfect for businesses that want to expand their selling beyond a physical location because it easily integrates with Instagram and Facebook, all while managing your entire business from one place.
Who should use it: Businesses on a budget that need an easy-to-use POS system with no monthly fees.
$7 per month for casual sellers, $119 per month for retail sellers
In-person and mobile POS, order management, customer profiles
$7 per month for casual sellers, $119 per month for retail sellers
In-person and mobile POS, order management, customer profiles
Shopify POS is a point-of-sale software used by businesses of all sizes. It turns any mobile device into a point-of-sale terminal, and is fully integrated with Shopify’s other tools and services. It’s especially well suited for businesses that sell both online and in physical stores, as it allows for unified reporting of sales data from both channels.
Additionally, it offers a wide range of features for inventory management, staff management and customer relationship building. Its hardware is sleek and easy to use, and comes with built-in payment processing.
Learn more: Read our full Shopify POS Review.
Who should use it: Shopify POS is a solid choice for businesses looking for a comprehensive point-of-sale solution.
$119 per month, ($89 per month when paid annually)
2.6% plus $0.10 processing fee, dedicated account manager, integrated payments
$119 per month, ($89 per month when paid annually)
2.6% plus $0.10 processing fee, dedicated account manager, integrated payments
Lightspeed POS offers a point-of-sale system that is both easy to use and scalable, making it a great choice for businesses of all sizes. The system is EMV compatible and PCI compliant, ensuring that your customers’ data is protected. Lightspeed also offers inventory management and reporting features, allowing you to keep track of your sales and profits in real time.
With its built-in membership and subscription tools, Lightspeed Subscriptions makes it easy to keep your customers engaged and coming back for more. You can offer exclusive deals and discounts to members, as well as monthly boxes filled with their favorite products. The system has secure automated recurring payments that make it a breeze to manage all your memberships and subscriptions.
Who should use it: Businesses that want a customer loyalty program should use Lightspeed POS.
Free; $29.99 per month (billed annually)
Unlimited transactions, pre-authorization, cash discount, tip management
Free; $29.99 per month (billed annually)
Unlimited transactions, pre-authorization, cash discount, tip management
The eHopper POS system is perfect for small businesses with multiple sales channels. Its free plan is ideal for companies that don’t process many transactions, as there’s a 300 transaction limit per month. However, its paid plans include both unlimited products and transactions.
With a one year contract, paid plans start at $29.99 per month, billed annually. Month-to-month contract pricing starts at $39.99 per month. For a true omnichannel experience, choose the OmniChannel plan starting at $39.99 per month (month to month). This plan gives e-commerce and loyalty features not commonly found in other plans.
Who should use it: Businesses that sell in store, online and through marketplaces such as Facebook and Instagram will find the best value in eHopper’s OmniChannel plan.
Next-business-day payments, email marketing, loyalty
Next-business-day payments, email marketing, loyalty
Formerly known as NCR Silver, Aloha Cloud is a cloud-based POS system for restaurants. It helps manage the front and back of house, retain and grow your customer base and gives you actionable insights into your business. It offers a free Starter plan, but you’ll pay higher processing rates of 2.99% plus $0.15 per transaction. Its Premium plan starts at $175 per month and comes with a lower payment processing rate of 2.25% plus $0.15 cents per transaction.
Who should use it: Restaurants that want next-business-day access to their funds.
CRM, mobile app, API access
CRM, mobile app, API access
Erply stands out for its robust functionality and broad applicability. With its tiered pricing, the platform is structured to cater to different business needs—from basic POS requirements for small shops to complex inventory systems for larger retailers. The ease of integration with a variety of payment providers and the adaptability of its mobile app are key strengths, allowing businesses to operate seamlessly.
Erply’s premium packages come with advanced CRM and API access, supporting improved customer interaction and enabling better business automation. Additionally, the platform offers an impressive range of customization features and scalability, particularly advantageous for growing businesses. The capability to provide industry-specific solutions, demonstrated through its detailed POS and inventory management system, makes Erply a preferred choice for diverse business types.
Who should use it: Erply is ideal for businesses of varying sizes, from small stand-alone stores to large-scale franchises and enterprises. However, you’ll need its paid plan for inventory management features.
In-house payment processing, kiosk and mobile orders, delivery orders, multi-location management
In-house payment processing, kiosk and mobile orders, delivery orders, multi-location management
Revel Systems shines particularly for its versatility and robust feature set in the hospitality sector. Its POS software is comprehensive, encompassing everything from intuitive point-of-sale functionality to employee management and customer relationship management. Revel is also highly adaptable to different order methods—traditional, kiosk, mobile and online—ensuring a seamless ordering experience for customers.
Its capability to manage multiple locations from a single dashboard is a significant advantage for businesses with multiple outlets. In-house payment processing, coupled with support for diverse payment types, enhances the ease of transactions. Revel’s flat processing fee structure helps businesses manage their expenses more effectively. And when you pair it with its POS hardware rather than sourcing your own outside Revel, you know the software is compatible, which is crucial for high-traffic hospitality businesses.
Who should use it: Revel Systems is best suited for hospitality businesses, particularly those operating across multiple locations.
$59 per month ($79 per month CAD)
No transaction fees, API access, e-commerce store
$59 per month ($79 per month CAD)
No transaction fees, API access, e-commerce store
KORONA POS stands out for its comprehensive offering that caters well to high-risk merchants. It provides an impressive feature set that includes e-commerce integration, employee time tracking, loyalty program integration, EMV and mobile payment options, retail inventory management tools and CRM capabilities. The system does not bind businesses with contracts or hidden fees and offers unlimited users and sales.
Another distinct advantage is its compatibility with high-risk merchant industries such as CBD, liquor, wine, dispensary and vape, which many other POS systems do not support due to the inherent risk. KORONA POS further supports scalability, making it an excellent choice for businesses looking to grow or manage multiple stores. Its 24/7 professional support ensures businesses receive help when needed.
Who should use it: KORONA POS is best suited for high-risk merchants who prefer a fixed monthly fee instead of transaction-based fees.
(commercial transactions start at 2.90% plus a fixed fee)
No monthly fee, inventory management, daily performance reports
(commercial transactions start at 2.90% plus a fixed fee)
No monthly fee, inventory management, daily performance reports
PayPal POS, now integrated with the restaurant POS called TouchBistro, charges no monthly fee. Instead, you’ll pay a per-transaction fee. These rates depend on how the transaction occurs, such as if it’s a commercial or QR code transaction. Transaction fees start at 2.90% plus a fixed fee based on the currency received. For example, each Canadian dollar received carries a $0.30 fee.
QR code transactions that are $10 or below cost 2.40% plus a fixed fee and any QR code transaction that’s $10.01 and above cost 1.90% plus a fixed fee. With PayPal POS in Canada, you don’t need any new hardware beyond your existing tablet or smartphone.
Who should use it: Businesses that want to pay a per-transaction fee rather than a monthly fee
$7 per month for casual sellers $51 per month ($38 per year) for retail sellers
Syncs with Shopify online store, smart inventory management
A POS system, also known as a point-of-sale system, is a hardware and software solution used to conduct transactions. This could be anything from selling a product to managing inventory or tracking customer data. A POS system can be as straightforward as a card reader or as complex as an all-in-one solution that includes features such as loyalty, scheduling, front of house, inventory management, customer relationship management (CRM) and e-commerce.
POS systems are used by businesses of all sizes in a variety of industries, including retail, restaurants, hospitality and services. If you’re running a business that relies on transactions of any kind, then a POS system is likely a good fit for you.
To choose the best POS system, first consider whether or not the system offers the tools and features your business needs—now and in the future. Ideally, a POS system should make it easy and affordable to accept payments no matter where you are selling or how customers are paying. Additionally, look at the bigger picture in terms of pricing. Depending on your sales volume, it may or may not be worth opting for a POS system with a higher monthly rate if it comes with the benefit of lower transaction costs.
Here are a few key factors to consider when choosing a POS system:
When choosing a POS system, the first step is to consider what features you need. Do you need basic transaction processing or do you need more advanced features such as loyalty, appointment scheduling, inventory management or email marketing?
Here are some common POS software features to look for:
In addition to software, you’ll also need to consider hardware when choosing a POS system. The type of hardware you need will depend on the type of business you have and the features you’re looking for.
Here are some common POS hardware features to look for:
There are many types of POS systems on the market, from simple card readers to all-in-one solutions. The best POS system for your business will depend on your specific needs.
Here’s a rundown of the different types you might encounter.
Restaurant POS A restaurant POS system is a specialized type of POS system that’s designed for restaurants. These systems typically include features such as table management, kitchen display systems and online ordering. Most will also have inventory management, so you can auto-reorder ingredients as they get low.
Retail POS A retail POS system is designed for retail businesses. These systems typically include features such as inventory management, customer loyalty programs and gift cards. Some retail POS systems also offer appointment scheduling and reporting.
iPad POS An iPad POS system is a type of mobile POS system that uses an iPad as the main point-of-sale terminal. These systems are becoming increasingly popular due to their portability and ease of use. Many iPad POS systems come with built-in features such as credit card processing, scheduling and receipt printing.
Mobile POS A mobile POS system is a type of POS system that can be used on a mobile device, such as a smartphone or tablet. People are relying more on these systems because of their portability and easy setup. Many mobile POS systems come with built-in features such as credit card processing, inventory management and receipt printing.
Android POS An Android POS system is a type of mobile POS system that uses an Android device as the main point-of-sale terminal. Due to their mobility and simple-to-use interface, these systems are increasing in popularity, too. Most Android POS systems come with features such as credit card processing, barcode scanning and receipt printing.
Cloud POS A cloud POS system is a type of POS system that’s hosted in the cloud. This means that all of your data is stored online, making it easy to access from anywhere. Cloud POS systems are becoming more popular because they’re easier to set up and use than traditional POS systems. They also typically come with features such as inventory management, customer loyalty programs and gift cards.
POS Terminal A POS terminal is a type of POS system that’s designed for businesses that need to process credit and debit cards. These terminals typically come with features such as EMV compliance, PCI compliance and fraud prevention.
The cost of a POS system will vary depending on the type and features you need. Generally, the more features you want, the more you can expect to pay. Some companies lend you a POS system in exchange for a monthly fee, while others require that you purchase the system outright.
More expensive POS features include:
To reduce costs, you can look for a POS system that comes with a free trial period. This will allow you to test out the system before committing to a long-term contract. You can also look for discounts, such as seasonal promotions or referral programs. However, the easiest way to pare down costs is to only pay for the services you need.
When considering the cost of a POS system, you’ll also need to factor in the costs of hardware, such as receipt printers and barcode scanners. These can range in price from a few hundred dollars to a few thousand, depending on the quality and features you need.
After paying for hardware and software, you usually have to pay processing or transaction fees. These are typically a percentage of the total sale, plus a small per-transaction fee. For example, if you’re paying 2.5% plus $0.10 per transaction, and you make a sale for $100, your total fee would be $2.60.
When you’re choosing an option, you’ll need to decide whether you want a point-of-sale (POS) system or a cash register. Both have their pros and cons, so it’s important to choose the one that best suits your needs.
POS systems are typically more expensive than cash registers, but they offer more features and functionality. Cash registers only track sales and print receipts, while POS systems can track inventory, customers, employees and sales. POS systems also typically offer features such as loyalty programs, gift cards and reporting, while cash registers typically do not.
POS systems are a good choice for businesses that want to track inventory, customers and sales. They’re also a good choice for businesses that want to offer loyalty programs, gift cards and reporting. However, they’re unnecessary for businesses that only need to track sales.
The cost of a cash register is less than a POS system, but offers fewer features. Cash registers can track sales, but they typically cannot track inventory, customers or sales tax. Cash registers also rarely offer features such as loyalty programs, gift cards and reporting. However, they are a good choice for businesses that only need to track sales. They’re also a good choice for businesses that cannot afford a POS system.
Once you’ve chosen a POS system, you’ll need to learn how to use it. Luckily, most POS systems are easy to use and come with training materials or customer support.
If you’re using a cloud-based POS system, you’ll need to create an account and log in. Then, you can start adding products, customers and employees. Most cloud-based POS systems come with a built-in tutorial to help you get started.
If you’re using a self-hosted POS system, you’ll need to install the software on a computer. Once it’s installed, you can start adding products, customers and employees. A built-in tutorial is included with most self-hosted POS systems to assist you in getting started.
A POS system involving hardware will require you to set up the hardware, such as receipt printers and barcode scanners. This is a more complex process, and in some cases, even requires an onboarding specialist on-site or to walk you through the process over the phone. Once the hardware is set up, you can start adding products, customers and employees.
Once you’ve added all your products, customers and employees, you’re ready to start using your POS system. To make a sale, you’ll need to add the items to the order and then process the payment. Most POS systems can process payments by credit card, debit card, cash or cheque.
After the payment is processed, you can print or email a receipt to the customer. Some POS systems also allow you to send text or email receipts.
Reporting is an important feature of most POS systems. With reporting, you can track sales, inventory and employees. This information can help you make informed decisions about your business. Most POS systems offer a variety of reports, such as sales reports, inventory reports and employee reports. Some POS systems also offer custom reporting. This is the key to getting the most out of your POS system—use your reports to gather insights into your business and make changes accordingly.
To provide the most comprehensive and accurate ranking of the best POS systems for small businesses, we reviewed and analyzed several providers in the POS sector. Our methodology evaluates each system across five key categories, totaling a broad range of metrics. These metrics are then weighted according to their importance to small businesses. The following sections detail our evaluation process.
Pricing plays an integral role in selecting a POS system. In this category, we scrutinize the cost of each system, including monthly fees, transaction costs and hardware prices. We also evaluate whether there’s a free trial or free version available, the pricing of initial and additional card readers and the potential for hidden charges.
General features cover the essential functionality of the POS system, accounting for 30% of the total score. We look at whether the system caters to retail and restaurant businesses, offers mobile payment options, includes built-in payment processing, provides inventory management capabilities and supports software integrations. We also evaluate the POS system’s compatibility with e-commerce platforms.
Additional features provide enhanced functionality that may prove beneficial to certain businesses. We look at whether the POS system supports multiple locations, offers employee scheduling, enables contactless payments, provides hardware bundles, manages gift cards, has self-service capabilities, generates reports and analytics, includes a free card reader, offers table management for restaurants and facilitates loyalty programs.
We consider real user feedback and reviews from trusted platforms such as Trustpilot, G2 and Capterra to contribute to our evaluation. The number of reviews, as well as the rating on each platform, are both assessed. The ratings and reviews category forms 10% of the overall score, providing a snapshot of user satisfaction and system reliability.
Our expert score is derived from firsthand experience and professional insight into each POS system, making up 30% of the total score. We look at standout features, value for money, popularity and ease of use. This involves examining any learning curve associated with the system, the intuitiveness of the platform and the prevalence of upsells or hidden costs. The expert score helps to provide a thorough understanding of the overall quality, usability and affordability of each system
There are a number of important 2023 POS system trends emerging. Here are the ones you should be paying attention to so that your business stays competitive.
The COVID-19 pandemic was a major impetus behind the shift toward cashless and touchless payment options. In a world concerned with hygiene and lowering transmission rates, technologies that allowed touchless payment became an essential part of purchasing infrastructure. This technology includes tap-and-go credit and debit cards and digital wallets that can be accessed through a smartphone or smartwatch.
These payment methods are not only hygienic but also offer the consumer increased speed, convenience and security in their purchases. These factors have contributed to the continued popularity of these methods even as the pandemic has subsided. Approximately 51% of Americans are now using contactless payment in some form and, in 2020, 67% of retailers reported that contactless payment capabilities were included in their infrastructure.
Gone are the days when POS systems had to be run from large, clunky, stationary computer systems. Hardware that works with POS systems is now more advanced and mobile than ever, allowing more flexibility for store associates and the business as a whole. Expect to see more smartphones, tablets, Bluetooth technology, secure order pickup lockers, electronic shelf labels and smart self-checkout solutions in 2023.
This more advanced hardware has been made possible by both physical and virtual improvements in technology. Without the advancements in software powering these devices, they would have offered a more limited level of functionality.
Cloud-based technology has taken the business world by storm in recent years and will continue to do so into 2023 and beyond. POS systems based in the cloud can be updated and integrated easily with other business operations, and they back up and store data securely automatically. Cloud POS systems also come with significantly lower price tags―usually in a software-as-a-service (SaaS) format―making them more accessible to businesses that also have budget constraints.
The cloud allows POS systems to operate over an internet connection, which has paved the way for these systems to be used on mobile devices. Traditionally, POS systems would be tethered to centralized computer stations reliant on physical connections. Now, this software can be used on mobile devices in any location, increasing the system’s flexibility and improving a business’s overall productivity.
With the rise of cloud technology, self-service infrastructure is also advancing in leaps and bounds. In addition to traditional self-service checkouts, such as you’d see in a grocery or retail store, self-service can now be used in other applications, such as all-in-one restaurant ordering/payment and brand-new storefronts in which checkout and payment isn’t necessary at all (Amazon Go). In 2023, we will see a greater emphasis on these technologies as they are convenient, cost-effective and can reduce errors in the ordering and checkout process.
A customer’s shopping experience can be personalized by offering messages, offers and products that are selected and tailored to a customer’s individual behavior and preferences. Companies can also show that they value their customers by ensuring that they proactively direct them to their preferred channels, keep their checkout information at the ready for increased convenience, allow them to switch between applications and communication channels effortlessly and connect them automatically with the best resources to meet their needs.
Customers know that companies collect data about them every time they use the internet, and they now expect that this data will be used to improve their experience with the company. There is no doubt businesses will continue to allocate resources to make these services a priority.
Related: Best Credit Card Machines In Canada
$7 per month for casual sellers $51 per month ($38 per year) for retail sellers
Syncs with Shopify online store, smart inventory management
The Square POS is Forbes Advisor’s selection for the best POS system for small business of 2023. It takes our top pick because of no monthly fees, low cost hardware and needing no training to use, making it ideal for businesses on a budget.
Clover’s massive amount of third-party integrations makes it our second top pick for best POS systems. It integrates with apps such as DocuSign, Xero, Mailchimp and WooCommerce to expand the functionality of your POS.
In our third spot is Shopify POS, which is great for businesses of all sizes. It turns any mobile device, be it a tablet, smartphone or something else, into a point-of-sale terminal, and is fully integrated with Shopify’s other tools and services. It’s ideal for businesses that sell online and at brick-and-mortar locations.
A POS system is a software and hardware system that businesses use to take payments, track sales, manage inventory and connect to other business systems. With its reports and analytics, business owners can also make informed decisions about their business.
The best POS system for your business depends on a variety of factors, including the type of business you have, your budget and the features you need. For many situations, it makes sense to invest in the best system you can afford, and preferably, the system can grow with your business.
The cost of a POS system depends on the features you need and the size of your business. Some systems are free, while others can cost hundreds or even thousands of dollars per month.
If you have a brick-and-mortar store, then a POS system can be a valuable tool for managing inventory, processing payments and tracking sales data. Even if you don’t have a physical store, a POS system can be helpful for managing online orders and shipping.
Most point-of-sale systems come with onboarding documentation that walks you through the process of setting up your system. Typically, the process involves creating an account, adding products, customers and employees, and then connecting hardware such as receipt printers and barcode scanners.
Yes, you can use a POS with an e-commerce store. In fact, many POS systems integrate with popular e-commerce platforms, such as Shopify and WooCommerce. Inventory syncs between your POS system and e-commerce store, so you can keep track of stock levels in real time.
The four types of POS systems include Legacy (traditional, on-premises hardware systems), Tablet-based (use tablets as the main interface), Mobile (operates on smartphones and mobile devices) and Cloud-based (hosted on the internet, allowing data to be accessed from anywhere).
Kathy Haan, MBA is a former financial advisor-turned-writer and business coach. For over a decade, she’s helped small business owners make money online. When she’s not trying out the latest tech or travel blogging with her family, you can find her curling up with a good novel.
Cash Register Kelly is an SMB Editor specializing in starting and marketing new ventures. Before joining the team, she was a Content Producer at Fit Small Business where she served as an editor and strategist covering small business marketing content. She is a former Google Tech Entrepreneur and she holds an MSc in International Marketing from Edinburgh Napier University. Additionally, she manages a column at Inc. Magazine.