Free POS software: How can I get it for my small business? - Startups.co.uk

2022-08-20 09:30:43 By : Ms. betty zhou

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The number one free POS system for SMEs is Square. Our research team found the platform has both no monthly fees and high-quality hardware. It also scored full marks in 5 out of our 6 main research categories. As the cost of living crisis squeezes cash flow, free software plans are a great way to trial a platform without any financial risk.

But in a market as crowded as POS software, even the most clued-in business owners have difficulty finding the right plan for your specific strategy or industry requirements

That’s where our experts come in. We’ve carried out extensive research into the five best free, or available with a free trial, POS platforms for SMEs. Our results are based on specific metrics including pricing, features, and business development opportunities.

By the end, you will know exactly what sets them apart from competitors and be able to make a confident decision about which to introduce to your business.

Our analysts give Square a huge score of 4.7 out of 5 due to its unbeatable combo of an extensive feature list, coupled with sophisticated hardware.

Startups’ testing of Square found it has the most product capabilities at 16. That includes the ability to schedule automatic restocks of items, important for maintaining profit margins.

Square is also incredibly innovative. Its app-based software is consistently updated with new customer-centric elements.

For instance, Square is currently working with Apple to allow merchants to accept payments using just their iPhone as part of a new ‘Tap to Pay’ initiative.

Does Square have any hidden fees?

Square has zero monthly fees and is completely free to sign up thanks to its pay-as-you-go payment model.

That means you’ll only pay a one-off charge of £19 + VAT for the Square card reader to start taking payments. Zettle is the only other provider on this list with a similar model.

One thing to be aware of is that you will need to pay a transaction fee of between 1.7% to 2.5% on any card payments.

We recommend Square as a free restaurant POS for firms that don’t need a fussy till area. The card reader measures just 8cm by 8cm, making it perfect for space-stretched firms like food trucks.

Plus, Square’s flexible pricing plans require no minimum commitment – excellent for SMEs with irregular trading periods.

Get started with Square POS software for zero cost

According to our results, Zettle matches Lightspeed for till management tools thanks to its impressive ecommerce integration.

Users can view and manage your in-store and online inventory from the same place. So, if you’re a takeaway working on a busy Saturday shift you can easily update your online product lists to reflect current stock take.

There’s not much in the way of business development features with Zettle (our analysts scored it just 3 out of 5 in this area) so we don’t recommend Zettle for businesses with big ambitions such as franchising. In comparison, our leader Square gets 5 out of 5.

Still, we think Zettle is an efficient software with user-oriented gadgets that will help to streamline operations if you’re looking to move your business online.

Does Zettle have any hidden fees?

Zettle gets full marks from us for pricing. Like Square, Zettle prides itself on having zero hidden fees. You’ll only pay a one-off tariff for the card reader (£29 + VAT) to get started.

In terms of transaction charges, there’s a fixed transaction fee of 1.75%. That’s regardless of which card you process with your Zettle Reader or terminal.

For payments from customers who are not physically present, such as online or over the phone, this rises to 2.5%.

We would recommend Zettle to any hospitality business that accepts in-person and ecommerce transactions, such as takeaway firms.

This is due to Zettle’s heritage as a PayPal product – its integration between physical and virtual sales is absolutely seamless.

GoodTill is an iPad-based point of sale system that is all about flexibility. More-established small businesses benefit from having 13 payment plans to choose from which means you’ll be able to find the perfect solution for your operating style.

Plus integrations are available for:

The best part? Once your 30-day free trial is over (that’s twice the length of Vend or Lightspeed), GoodTill’s plans start from just £29 per month. That puts them at least £30 cheaper per month than its closest rival, Lightspeed.

And, as another incentive, you’ll pay no transaction fees for the first £1000 of transactions. As a result, it’s particularly attractive to fast food chains charging minimal prices.

One thing to be aware of is that we awarded GoodTill the worst overall score for help and support tools with 2 out of 5 due to there being no live chat available as an option. Vend gets full marks in this area, in comparison.

Does GoodTill have any hidden fees?

There are no hidden fees with GoodTill unless you’re planning on installing a CRM add-on to the point of sale software. The Goodies Basic Loyalty package costs £18 per month – other platforms, like Vend, offer this perk for free.

Once purchased, you’ll be able to create and communicate promotions, points-based loyalty programs and offers to your customers

Choose GoodTill if you’re a scaling business planning to open several restaurants or shops as part of a chain business model. There are 13 plans available in total with GoodTill, as well as an unlimited number of licences for additional terminals.

Lightspeed is our highest-rated POS for a free trial. Users can test out the platform for free for two weeks. Get to grips with the software and see how it complements your business operations.

Notably, we gave Lightspeed a score of 4.3 out of 5 for its till management features (in comparison, Square scores just 3 out of 5).

This is due to its unrivalled employee tracking tools which make it simple to set up staff goals. You can even monitor individual sales – handy if your salespeople work on commission. No other platform on this list, including Vend and GoodTill, has this feature.

Long-term clients making large orders are also looked after well by the Lightspeed feature-set. You can bundle individual items to sell them as a package and automate discounts for big orders – giving wholesalers the edge over competitors.

Does Lightspeed have any hidden fees?

We only allocated 2.3 out of 5 to Lightspeed for pricing as it is definitely a premium product – that’s compared to Square which got 5 out of 5.

Once your 14 day free trial has ended you’ll be charged £59 per month to access the Lightspeed POS.

Apart from this monthly payment, you also are charged 2.6% + 10p for tapped, swiped, or inserted cards. The charges for remote card entry is 2.6% + 30p.

We recommend Lightspeed to retail businesses with sales executives who are working on commission.

Its performance tracking tools are second to none – but beware that if you have more than five employees you’ll need to request a custom quote for access to more than 5 employees.

One of the main reasons we like Vend’s free plan so much is that it is the only product on this list that comes with a built-in CRM and loyalty program – beating even our top-rated platform, Square.

Customer relationship management (CRM) tools are hugely important for businesses offering high-quality customer service. With Vend, you can set up an integrated rewards programme to honour repeat customers, and generate automatic customer insight reports for upselling opportunities.

There is no restaurant service type in Vend’s offering so it’s unsuitable for hospitality businesses. Similarly, there’s no delivery support so we’d endorse it only for organisations with an established courier partnership.

Still, Vend’s free trial is an excellent taster for businesses wanting an integrated CRM and POS solution.

Does Vend have any hidden fees?

Vend’s transaction charges are exactly the same as Lightspeed’s: 2.6% + 10p for tapped, swiped, or inserted cards and 2.6% + 30p for remote transactions.

However, the similarities end there. Vend’s deals are much more expensive than Lightspeed’s with the former’s clocking in at a minimum monthly fee of £81.

For hardware, you’ll also fork out around £1,000 for iPad setup and up to £1,300 for Mac or PC setup – far from a bargain compared to Zettle.

Firstly, we only recommend Vend if you have a considerable amount of money to spend once your free trial ends.

It’s a high-end offering with lots of strengths for premium retailers. But unless you’re selling expensive products – such as a gallery – you’re unlikely to see a benefit from that specialism.

Our experts have been helping small businesses find the best deals and discounts in the payment solution market for over twenty years.

We can tell you that using a free POS won’t cost you any money and can be a good way to trial software.

But experience tells us that most platforms come with hidden fees, or else a costly contract at the end of your trial period that can catch you off guard.

Other cons of free POS software include:

To help you out, we’ve built our handy Startups’ cost comparison tool to help keep you informed of what comes after a ‘free’ purchase.

It will match you with POS quotes in just one minute, so you won’t get any nasty surprises in your bill.

Because of the extra charges that users can incur from a free POS software, paid-for products can work out cheaper in the long run.

Here’s a quick breakdown of the top solutions we identified in our latest round of testing (including more information on prices):

Plans start from £4.10 per month

If you’re interested in looking into the above paid-for software plans then our comprehensive POS for small business guide has more information on what’s available.

When choosing the right POS software, remember to think hard about the three ‘S’s: scale, sector, and sales.

If you have a large amount of employees or sell in multiple locations, you’ll need to invest in low-cost hardware, like the Square or Zettle card readers, if you’re buying multiple devices.

Major POS systems – such as Epos Now – provide tailored packages for users based on their sector expertise. For example, retail SMEs won’t need a table booking system in the same way that hospitality firms do.

We recommend you think about what functions you carry out surrounding your sales strategy. Do you want monthly, annual, or quarterly sales reports? Have these answers ready before you sign any contracts.

The best free system for small businesses is Square, due to its flexible contract and all-in-one POS solution that doesn’t tie mobile restaurant sellers into long-term commitments.

We recommend Zettle for its clever, customer-focused features, like the low stock alert, are also fantastic for selling both on and offline.

For a premium option, we back Lightspeed. Users can start the 14 day free trial for sophisticated features – including unrivalled reporting tools – without spending a penny.

To find our rankings for the top free POS systems, our experts worked with an independent analyst to explore six key areas of payment solutions.

Value for money is a major consideration with any software. Firms want the best deal possible, so we evaluated each system for hidden pricing. We also considered till, stock, and business management tools as functionality has a big influencer on overall value.

It’s important that your software aligns with your business objectives so you can scale operations and grow profits. We reviewed business development features, such as courier integrations, as another decision-making factor.

Finally, we scored the systems for help and support tools. Introducing any new system brings challenges in terms of tech-know-how. The more help available, the more you and your staff gain from the system.

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Helena "Len" Young is from Yorkshire and joined Startups in 2021 from a background in B2B communications. She has also previously written for a popular fintech startup.

Included in her topics of interest and expertise are tax legislation, the levelling up agenda, and organisational software including CRM and project management systems. As well as this, she is a big fan of the films of Peter Jackson.

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