Looking For The Best Credit Card Reader For Small Business? Try These 8 Options

Hardware Cost

Square still offers a free magstripe reader with each new account. While this can get the job done, the device is limited and somewhat obsolete. If you want a Bluetooth reader that can accept chip cards and contactless payments, Square offers the Square Reader for contactless and chip, pictured above, for $49. The device’s optional dock will set you back an additional $29.

Square Pricing

For mobile processing, you’ll pay a flat 2.6% + $0.10 for all card-present transactions. This type of flat-rate processing usually works out great for lower-volume sellers (processing <$10,000/month) with smaller ticket sizes (such as coffee carts and food trucks). However, it can be needlessly expensive for high-volume businesses.

Square doesn’t charge a monthly fee for its default service, although some optional advanced services have additional fees.

Square Reader Features

The Square Reader is a simple but effective peripheral for taking credit card information:

• EMV chip reader (except on free magstripe reader)
• NFC payments enabled (except on free magstripe reader)
• Connects through a lightning port or 3.5 mm headphone jack
• Sleep mode to conserve power

Where Square Really Shines

The best thing about Square is that it is completely risk-free to try out or install as a backup POS in case your primary POS goes down. Even if you never use it, you won’t have to pay a monthly fee, and you won’t be out any money because the credit card reader itself is free.

No matter what type of small business you own, it’s a good idea to (literally!) have a Square credit card swiper in your back pocket.

Read our guide to Square POS hardware for more information.

The SwipeSimple B250 reader

Hardware Cost

SwipeSimple is compatible with a number of credit card processors and is offered by three of our favorites: Host Merchant Services, Payment Depot, and National Processing.

Prices can vary depending on the processor you select. Our Payment Depot review, for example, explains how the company offers new merchants a free chip and swipe reader, the Swift B200, which connects via Bluetooth. If you’re interested in contactless payments, you can get a swipe, chip, and tap reader — the Swift B250 — for just $25.

SwipeSimple From Host Merchant Services Pricing

Each vendor will have its own pricing scheme. Host Merchant Services charges the following rates for businesses that do at least $10,000/mo in transactions:

• Retail: Interchange + 0.25% + $0.10 per transaction
• Restaurant: Interchange + 0.20% + $0.09 per transaction
• eCommerce: Interchange + 0.35% + $0.10 per transaction

Rates are higher for lower volume businesses, so Host Merchant Services may not be an ideal solution for very small businesses. On the other hand, high volume businesses can negotiate lower fees than you see above. High-risk merchants will have more expensive transactions than are listed here, but should also negotiate the best rate they can.

SwipeSimple Reader Features

The two SwipeSimple compatible readers offer a decent amount of versatility between them:

• EMV chip payments (B200 & B250)
• NFC payments (B250)
• Magnetic stripe reader (B200 & B250)
• Optional dock (B250)

Where SwipeSimple From Host Merchant Services Really Shines

What sets SwipeSimple apart is that you will get your own merchant account if you go through any of the vendors we listed above, whereas most of the others in this list use the third-party aggregating business model. That means SwipeSimple carries less risk of an account hold or termination as long as you do not operate an inherently high-risk business. Yes, it’s a little more expensive than Square, but for businesses burned by a third-party processor in the past, a minor monthly fee is a small price to pay for reliability.

Hardware

If you buy a Clover Go mobile payment reader directly from Clover.com, you’ll pay $49. If you buy the device through a merchant services provider, pricing may vary from free to over $100.

Clover Pricing

Clover is compatible with a number of payment processors, but should you go directly through Clover for your payment processing services, you can choose between Clover Payments for $0/month and Clover Essentials for $9/month. In-person transactions are charged a flat processing fee of 2.6% + $0.10.

Clove Go Features

• EMV chip reader
• NFC payment enabled
• Magstripe reader
• Connects via Bluetooth
• Card scanner for virtual terminal entries
• Clove Suite integration

Where Clover Really Shines

Regardless of which processor you go through, if you’re using a Clover device, you’ll have your own merchant account through Fiserv, which provides more stability than you’d get with third-party processors, such as Square or PayPal.

You’ll have some flexibility in picking a Clover reseller, allowing you to choose plans suited to your volume.

Hardware Costs

Square Terminals cost $299, with Square offering financing for $27/month for 12 months. If you want to attach additional hardware to the terminal, you’ll need to purchase a Hub, which costs an additional $39.

Square Terminal Pricing

Square Terminal uses Square’s default card-present pricing model. You’ll pay 2.6% + $0.10 per transaction. There’s no monthly fee.

Square Terminal Features

Square Terminal does a pretty good job bridging the gap between a mobile reader and a POS system while making a few sacrifices in portability and screen size.

• Standalone device
• EMV chip reader
• NFC payment enabled
• Magstripe reader
• Connects via Wi-Fi or Ethernet
• Excellent battery life

Where Square Terminal Really Shines

Square Terminal is a bit larger than most of the devices on our list but still portable enough to move around with you. If you’re looking for a bit more functionality than a typical reader can provide, including the ability to do item creation and print receipts, it can be a good middle ground.

Hardware Costs

The NFC-friendly Helcim Card Reader is $199 with an optional $79 reader countertop stand. It works across devices, and while more robust than a traditional mobile card reader — it even includes a PIN pad — it is also fully mobile.

Helcim Pricing

Helcim’s processing rates start at interchange fees plus 0.3% + $0.08, with a reduced rate for higher volume businesses. The more your process, the lower your rate.

There’s no monthly fee for using Helcim.

Helcim Reader Features

Helcim’s single card reader is small and multifunctional.

• EMV chip reader
• NFC payment enabled
• Magstripe reader
• Connects via Bluetooth, USB cable, or Wi-Fi
• Keypad

Where Helcim Really Shines

Helcim is an excellent option for small to medium-sized businesses looking for interchange-plus pricing and a full suite of features.

Like popular payment service providers (PSPs) such as Square and PayPal, Helcim has no monthly fee and bills on a month-to-month basis with no long-term contract. However, the company offers a true, full-service merchant account, minimizing the chance that your account will suddenly be frozen or shut down.

Helcim also comes with a slew of features, including customer management, inventory tracking, and foodservice management.

Hardware Cost

You can get the SumUp reader for $19 in the US, making it one of the cheapest NFC readers you can get. Outside the US, prices and card reader options vary.

SumUp also recently introduced the SumUp Pro card reader for $59. This nifty-looking pocket reader comes with a built-in SIM card, free unlimited mobile data, and Wi-Fi connectivity.

SumUp Pricing

There is no monthly fee for using the SumUp app, and transactions process at a flat 2.75% each.

SumUp Reader Features

The SumUp reader may be cheap and a tad on the bulky side, but it’s effective.

• EMV chip reader
• NFC payment enabled
• Magstripe reader
• Connects via Bluetooth
• Long-lasting battery

Where SumUp Really Shines

While it’s not as comprehensive as many other options (for instance, it doesn’t include discounts or invoices), SumUp does everything most merchants will need to do. SumUp also operates in quite a few countries across Europe (including the UK) and South America, which makes it an interesting global solution.

The lack of a flat markup on SumUp’s transaction fees can make it particularly efficient for low-volume businesses that mainly deal in small transactions.

Hardware Costs

Toast Go’s pricing can vary substantially depending on which plan you sign up for and whether you need multiple units. Buying the device outright costs $409, but getting a terminal for “free” included in your plan is possible. Beware, however, that this will lock you into a long-term contract.

Toast Pricing

Toast plans range from $0/month to $165/month, with custom plans also an option for high-volume restaurants. Processing fees for the free plan are 2.99% + $0.15 and 2.49% + $0.15 for the standard plan.

Toast Go 2 Reader Features:

The Toast Go 2 has a profile similar to a smartphone.

• Standalone reader with a router
• EMV chip reader
• NFC payment enabled
• Magstripe reader
• Restaurant features, such as order alerts

Where Toast Really Shines

Toast is designed specifically for restaurants and offers a suite of features that make it easy to process orders. While advanced features can get pricey, there’s enough flexibility in the plans to account for restaurants of just about any size.

Hardware Costs

Shopify has three mobile card readers, two of which cost $49: the Chipper 2x BT Reader and the Shopify Tap & Chip Reader. The new Shopify POS Go device, an all-in-one touchscreen card reader + barcode scanner that runs Shopify POS natively, costs $399.

Shopify Pricing

As covered in our Shopify POS review, you’ll pay $79/month for the full-fledged countertop set up with a cash drawer and receipt printer. For most mobile merchants, the Basic Shopify plan, at $29/month, should meet your selling needs.

In-person transactions with Shopify Payments process at 2.7% with Basic Shopify. Discounted processing rates apply when you get a higher-tier subscription. Payments typically arrive in your bank account after 24 to 72 hours.

Shopify Reader Features

Shopify’s two basic mobile readers cover all the basics of mobile credit card processing. Note that the Chipper 2X BT is only available to US merchants.

• EMV chip reader (Chipper and Shopify readers)
• NFC payment-enabled (Chipper and Shopify readers)
• Magstripe reader (Chipper and Shopify readers)
• Connects via Bluetooth (Chipper and Shopify readers)
• Optional dock (Shopify reader)

Where Shopify Really Shines

Shopify is an excellent mobile credit card processing solution for retailers selling at craft fairs, pop-up events, or even on social media.

Shopify supports online sales with a comprehensive eCommerce feature set while providing access to its mobile POS. The mobile POS includes a mobile invoicing feature. Everything syncs between your in-person sales and any online sales through Facebook.

Sellers with a full brick-and-mortar retail store may prefer the Shopify POS subscription package, which has an in-person processing rate of 2.5% and more advanced features, including a full-fledged Shopify online store.