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Learn the differences between a POS system versus a cash register and how to determine which is better for your small business.
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When it comes to choosing the right point of sale system for your business, you might be considering the debate between a POS (point of sale) system versus a traditional cash register, especially if the cost of a POS system is a concern for you.
If this is your current small business concern, read on to discover which might be the best fit for you.
Table of Contents
| Cash Register | POS System | |
|---|---|---|
| Pricing | A cash register can be purchased for around $100 to $1,500+. No monthly subscription fees are required to use a cash register. | Basic POS software starts at $0. More advanced software may cost as much as $100+/month. Hardware costs range from free for a basic card reader to $1,000+ for a full setup that may include equipment like multiple terminals, customer-facing displays, kitchen displays, and barcode scanners. |
| Payment Methods | A cash register can be used to accept cash payments. Standalone equipment will be required to accept cards and other forms of payment. | POS systems can be used to accept cash, credit cards, debit cards, and contactless payment methods, such as Apple Pay. |
| Multilocation Management | Cash registers do not sync with other cash registers and are not ideal for businesses with multiple locations and/or registers. | Many POS systems can be synced across multiple terminals or locations. |
| Reporting | Daily sales can be calculated with a cash register. | POS systems have more advanced reporting. This may include detailed sales reports, cash flow analysis, employee reports, and more. |
| Additional Features | Cash registers are useful for calculating and accepting cash payments. No additional features are available. | POS systems may include many unique features, including employee management, time tracking, inventory tracking, and more. |
| Integrations | Cash registers do not have built-in integrations. | POS systems may integrate with other software and apps, such as accounting software, employee management software, or inventory management software. |
| Ease Of Use | Cash registers are easy to use and require little training. | POS systems may be a bit more difficult to use, but there are several user-friendly features available. Additionally, many POS providers offer numerous resources and customer support to help install, implement, and use your new system. |
Cash registers may be a great choice for cash-only businesses that want a simple way to accept payments.
However, a POS system is better suited for businesses that want to accept multiple forms of payment, run in-depth reports, and launch customer loyalty programs. If you’re undecided on which is best for your business, check out the key differences between POS systems and cash registers in the table above.
Another thing to think about is mobility. A cash register is a fixed piece of equipment that stays in one place, while many POS systems offer mobile options that allow you to use tablets, smartphones, or other small devices that easily move around your business. You can learn more about mobile POS options in our guide to mPOS systems and software.
If you’re unsure whether a POS system or cash register is the best choice for your business, consider the following.
A POS system is a computerized system utilizing a combination of software and hardware to perform various functions beyond just ringing up a sale.
Want to learn more? Our article on the benefits of a POS system for your small business is a good place to start.
A cash register is an electronic, non-computerized device that has one primary function — recording a sale and collecting cash. A cash register can also include a receipt printer, barcode scanner, and a cash drawer to hold money. Some of the specific features, such as product library capacity or issuing unique ID codes for your operators, may vary.
What if the right option for your business is “both”?
Most POS providers have some sort of cash register POS combination. At the very least, most offer a cash drawer, tablet, and receipt printer.
Square’s point of sale system offers hardware cash register POS kits like the Square Register Kit that comes with a Square Register, cash drawer, and receipt printer with a starter paper roll starting at $1,269 (or $62 per month with financing).
Clover’s Station Solo cash register POS kit comes with a 14″ touch screen, cash drawer, and receipt printer for $1,699 (or $125 per month for 36 months).
Some POS providers, like Lightspeed Retail, offer cash register POS kits for a custom price. You can contact Lightspeed’s customer support team to learn more about pricing for the iPad point of sale hardware kit (receipt printer, cash drawer, Bluetooth scanner, and iPad stand) or desktop hardware kit (USB receipt printer, cash drawer, and USB scanner).
Our complete guide to POS hardware can help you decide what you need for your business and what you can forgo as you build your perfect POS cash register combination.
If you plan to primarily accept cash payments, don’t have a lot of inventory, or have a small budget, you can certainly manage to get by with a cash register.
You won’t get the advanced sales reporting, customer reporting, or other features that you get with a POS system. The data you glean from tracking product sales can be invaluable when it comes time to plan and market, so keep in mind what you can gain from a POS.
If you plan to accept cash and credit cards, it’s worth having a POS system that can combine reporting for both cash and card sales — as well as all the other features you get with a POS system. You will incur added costs with this solution, but remember that you have options here, too.
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Square is an industry-leading point-of-sale and payment processing provider. Sign up for a free account and get a complimentary card reader for use with Square POS. Start For Free.
Get Your Free Credit Card Reader
Square |
|---|
Square is an industry-leading point-of-sale and payment processing provider. Sign up for a free account and get a complimentary card reader for use with Square POS. Start For Free.
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Square POS is an intuitive and simple point of sale platform. It offers customizable tools and a variety of add-ons to fit your business needs and reach your goals.
Get Started
