Whether you are setting up a business for the very first time, or you are an experienced entrepreneur, having the right Point of Sale System (POS) is essential for your success. Undeniably, a POS is the central component of the business system, with much more benefits besides simply taking credit cards. Some of the capabilities of a quality POS include, inventory management, accounting, employee management, customer management as well as sales reports. However, reports indicate that one question remains; “With many options available, how do I choose the right one?” In the next paragraphs, Doing Business compiles 10 things an entrepreneur should consider when choosing a POS. What are the types to consider? Lease or buy To lease the equipment, some companies will offer you the option of paying a monthly fee, while other companies will require an upfront capital investment to purchase the equipment. Also different is that newer tablet based systems require only the tablet and a few pieces of optional hardware to set it up, unlike traditional systems which require costly infrastructure and equipment. An entrepreneur needs to consider factors such as the mobility and ease of a tablet-based system compared to a traditional POS system, the lease term, upfront costs and monthly fees to decide if leasing or buying is the right choice for their business. Registered If a POS system is branded (proprietary) it means you can only use specific payment processors with the system. For this particular system, an entrepreneur is bound to reduce room for negotiation and customization as their business can only use the specified payment processor. This poses a challenge of changing systems and processors in the future due to the fact that the entrepreneur will have to find new providers. Consequently, to help you with your decision, think about whether you can afford the investment needed to acquire a new POS system in case you want to change the payment processor. If not, a proprietary system may not be the best fit for your business. What to prioritize Quick and easy transactions For the majority of businesses, getting paid quickly is the key to increased cash flow. A good POS system is fast to learn and easy to use. It offers many ways for customers to pay. Receipts can be emailed and returns are easy to manage. Complete Integration To save time and streamline processes, a POS system should integrate seamlessly with accounting, finance and enterprise resource planning (ERP) programs. This ensures the various applications share information automatically. Customization Advanced POS systems can be tailored to individual business needs. While not every business will require all of the features of new POS systems, at the very least they will benefit from fast and secure credit card payments and accessing valuable data to gain insights into overall business performance. Flexibility An entrepreneur needs to look for a POS system that allows remote access via a user-friendly app or a web portal. Good POS systems have the ability to be fixed to a sales desk or mobile when additional checkouts are required. POS systems should be flexible so that card readers and EFTPOS machines are not required, but can be added on if needed.
