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Trying to decide between Toast or Square as your restaurant's point of sale system? Read our guide to discover the best fit for your business.
New and established food service business owners will find Toast POS and Square POS during their restaurant POS system research. But which one is the better fit for small businesses?
Keep reading this Toast VS Square comparison to find out which restaurant POS system is right for your business size, budget, and unique needs.
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Table of Contents
Toast and Square are both strong restaurant point of sale systems, but which is right for your business?
Toast is a great choice for busy small to midsize restaurants because there are several restaurant-specific features like customizable ordering, tipping, online reservations, and kitchen workflow features. Toast also offers the most customizable loyalty program builder out of any restaurant POS on the market.
The system’s ingredient-level inventory tracking, easy 86-ing functions, and automated menu item syncing across locations and ordering platforms also allow for easy inventory management, especially for multilocation restaurant businesses. Plus, Toast’s Android-based hardware can survive spills, drops, and most other restaurant mishaps (while iOS devices may not).
On the downside, Toast can get expensive, especially with add-ons like online ordering and loyalty programs. A long-term contract may also be required.
Square is overall the best free/low-cost restaurant management system for small food service business owners. Square’s free features, including your own website, online gift card generator, Google Ordering, and social media marketing integrations, make Square a fantastic all-in-one inventory, online ordering, and POS software option for those with a limited budget.
You can use an unlimited number of your own iPads as POS systems (free plan only), purchase a dedicated Square Register stand for countertop and self-serve kiosk ordering, or purchase Square’s new durable Android-based mobile POS kit (starting at the Square Plus plan). Square card readers are compact and affordable, so it’s easy to sell at a restaurant, in a food truck, and on-location at events like farmers’ markets and festivals.
Square can get expensive for multilocation establishments. It also lacks perishable inventory tracking. Occasional fund holds may also be an issue.
Toast offers more restaurant-specific features like highly custom floor planning, reservation capabilities, and perishable inventory tracking, although with a higher price tag. Here are a few more areas where Toast really shines:
Square is exceptionally simple software to both use and set up and customers will appreciate that, while not as in-depth as Toast in some areas, it doesn’t skimp on features, also allowing you to scale up from its free plan to more advanced packages. Here’s where it shines:
Toast | Square | |
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Monthly Subscription Pricing |
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In-Person Payment Processing | 2.49% + $0.15 | 2.6% + $0.10 |
Online Payment Processing | 3.5% + $0.15 for Visa, Mastercard, and Discover, and 3.89% + $0.15 for AMEX | 2.9% + $0.30 |
Equipment | $0+ if you agree to a higher processing rate | $0-$799 |
Square and Toast both offer plans that cost $0/month.
However, Toast charges higher payment processing fees on all orders to cover the cost of the “free” plan, especially if you add online ordering to your plan.
Toast is a more advanced restaurant POS system, but it’s quite expensive considering the cost of add-ons like online ordering and eGift cards (which Square offers for free).
Toast | Square | |
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Split Tickets | ||
Custom Tipping | ||
Offline Payments | Swiped card payments only | Only available with Square Terminal |
Menu Management | ||
Inventory Tracking | ||
Online Ordering, Takeout, & Delivery | Additional fees | Free online ordering platform with optional paid branded domain name |
Self-service Kiosks | ||
Reservations | ||
Floor Planning | ||
Open Tabs | ||
Marketing Tools | ||
Employee Management | ||
Multilocation Management | ||
Restaurant Reporting |
Toast and Square both have strong tipping, check splitting, menu management, online ordering, loyalty program, gift card creation, floor planning, card pre-authorization, and email marketing features. Toast offers more customization in most of these categories, but for the average restaurant, you may not need such granular levels of custom settings.
Toast has a definitive edge over Square in terms of inventory management. Square, on the other hand, has better built-in online ordering, marketing, and offline payment capabilities.
For many restaurant needs, like reservations, Square offers free and low-cost workarounds, while Toast offers either proprietary (paid) solutions or (paid) integrations with third-party restaurant software providers.
The biggest difference between Toast and Square is the way you get (and pay for) your restaurant hardware. You have to use Toast’s proprietary hardware, while Square allows you to bring your own iPad-based devices or purchase affordable Square hardware.
Let’s dig into a more detailed feature comparison so you can decide which POS system you need.
Toast and Square are both great restaurant POS systems, but each one fits a certain business type. Here’s how to tell which restaurant POS is right for your business.
Toast and Square restaurant POS systems both have great feature sets for restaurant owners. Toast features are more in-depth, but can also be much more expensive.
Square’s payment processing fees and hardware costs are consistent and transparent, while Toast’s custom-quoted pricing plans and customer service are anything but consistent and transparent.
If cost and responsive customer service are significant issues for your business, then Square for Restaurants is the better option. However, if you need a true top-of-the-line restaurant management system and are willing to pay for it, then choose Toast for your restaurant POS needs.
If neither of these POS providers sounds like the right fit for you, read our post on the best restaurant POS systems to find the software that will take your food service business to the next level.
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Get Your Free Credit Card Reader
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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.
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The vendors that appear on this list were chosen by subject matter experts on the basis of product quality, wide usage and availability, and positive reputation.
Merchant Maverick’s ratings are editorial in nature, and are not aggregated from user reviews. Each staff reviewer at Merchant Maverick is a subject matter expert with experience researching, testing, and evaluating small business software and services. The rating of this company or service is based on the author’s expert opinion and analysis of the product, and assessed and seconded by another subject matter expert on staff before publication. Merchant Maverick’s ratings are not influenced by affiliate partnerships.
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