Top 9 Free POS Systems for Small Businesses

Key Takeaways:

1. Shopify POS: Best for retailers who need a unified solution for managing their physical store.
2. Square POS: Best for businesses seeking a POS system with a free option that also supports eCommerce and appointment scheduling.
3. Loyverse: Best for small business owners needing to manage their businesses on the go with a robust mobile POS app.
4. Toast POS: Best for restaurants, cafes, and food trucks looking for a POS system specifically designed to handle their unique requirements.
5. PayPal Zettle: Best for small retailers looking for seamless integration with PayPal, one of the world’s largest online payment systems.
6. Helcim: Best for businesses wanting a fully transparent, cost-effective payment processing solution that scales with their growth.
7. Nextar: Best for businesses requiring a POS system that supports multiple languages and currencies.
8. Imonggo: Best for small businesses needing a simple, user-friendly solution that allows for basic inventory management and sales analysis.
9. Zobaze: Best for businesses requiring a comprehensive mobile POS solution with robust features, including offline functionality.

Shopify POS

Shopify POS is designed to bring the power and convenience of ecommerce to brick-and-mortar stores. Shortlisted as the best free POS software, Shopify POS essentially allows independent retailers to manage their sales, inventory, and customer data both in-store and online on a single unified platform. With Shopify POS, you can process transactions, track inventory, manage customers, and generate sales reports, amongst other critical retail functions.

Pricing

The entry-level, dubbed “Shopify POS Lite,” is bundled with every Shopify plan, effectively making it a free POS system for small businesses. However, its fully-featured counterpart, “Shopify POS Pro,” comes with additional costs: $89 per month per location.

Also, note that to use the free Shopify POS Lite, you need to be on one of its subscription plans, starting from $5 per month.

Key features

• Unified Channel Management: Shopify POS Lite integrates with your online Shopify store, offering a unified platform to manage both online and offline sales. This facilitates easy inventory tracking and enhances the customer shopping experience.
• Basic Checkout Functionality: The POS system enables you to accept a variety of payment methods, apply discounts, and issue refunds.
• Customer Profiles: POS Lite allows you to create customer profiles to track individual purchase histories and preferences, fostering a personalized shopping experience.
• Basic Reporting: You’ll receive standard analytics such as total sales, customer behavior, and product performance reports.

Pros and Cons

Pros of Shopify POS

Ease of Use: Shopify POS is praised for its intuitive interface, making it easy for both employees and managers to navigate and use. Integration with Shopify Ecommerce: If you already run an online Shopify store, the POS system smoothly integrates, providing a seamless omnichannel experience. Versatile Payment Options: Shopify POS accepts a wide range of payment methods, enhancing customer convenience. 24/7 Support: Shopify offers round-the-clock customer support, which can be a lifeline for small businesses operating outside conventional hours.

Cons of Shopify POS

Limited Advanced Features in Lite: The Lite version lacks advanced features such as sophisticated inventory management and granular sales analytics, which is critical to the success of a business. Credit card processing fees: While you can avoid transaction fees charged by Shopify by using Shopify Payments, the credit card processing fees still count.

Square POS

Square POS is an intuitive point-of-sale system designed to streamline sales transactions and overall business operations. The platform enables small businesses to facilitate sales, manage inventory, track customer data, and glean valuable insights from sophisticated reporting. Whether you’re operating a brick-and-mortar store, an online shop, or a combination of both, Square POS is geared to serve as the unified command center of your business operations.

Pricing

The standard Square POS software is entirely free to use. Yes, you read that right—zero, zilch, nada. This is among the best free POS software and includes features like inventory tracking, sales reports, and even customer directories.

However, it’s important to note that while the software is free, Square charges a processing fee for each transaction, which is 2.6% + 10¢. Also, for more specialized operations, Square offers paid versions, like Square for Retail and Square for Restaurants, which cost a monthly fee of $29 per location.

Key features

• Sales and Transaction Processing: Square POS allows you to accept a myriad of payment options, process refunds, and send digital receipts.
• Inventory Management: It facilitates inventory tracking, allowing you to receive alerts when stock is low, and generates reports on sales trends to help manage your inventory better.
• Customer Directory: It enables you to build customer profiles, helping you keep track of purchase histories and customer preferences.
• Analytics and Reporting: Square provides a suite of analytics tools to help you understand your business’s performance and make informed decisions.

Pros and Cons

Pros of Square POS

• User-friendly Interface: Square POS is renowned for its clean, intuitive interface, making it easy for employees to operate.
• Versatile Payment Processing: Square POS accepts a wide range of payment methods, from credit and debit cards to digital wallets.
• Superb Customer Support: Square provides solid customer support with various resources like live chat, phone support, and a comprehensive self-service knowledge base.

Cons of Square POS

• Processing Fees: Although the software is free, the transaction fees can add up, especially if you have a high sales volume.
• Limited Advanced Features: For more advanced features, like employee management or email marketing, you’ll need to upgrade to a paid plan.
• Hardware Costs: While the software is free, there might be additional costs for compatible hardware like card readers or receipt printers.

Loyverse

Loyverse POS is a mobile-friendly point-of-sale system specifically tailored for small businesses and startups. With an emphasis on accessibility and simplicity, Loyverse facilitates sales transactions, inventory management, customer management, and insightful sales analytics, all in the palm of your hand. Whether your business is a physical store, an online entity, or a combination of both, Loyverse is designed to simplify and enhance your sales processes.

Pricing

A standout feature of Loyverse’s pricing model is its free POS software. This isn’t a stripped-down version or a time-limited trial; it’s a fully operational POS system that won’t cost you a dime.

However, Loyverse does offer paid add-ons for businesses in need of more advanced functionality. These optional add-ons include Employee Management and Advanced Inventory, each priced at $25 USD per month per store, and an Integrations option at $9 USD per month per store. For businesses operating more than 3 stores, Loyverse offers special pricing upon request.

Key features

• Stock Management: The platform enables basic inventory tracking, allowing you to monitor stock levels and manually adjust them as needed.
• Multiple Stores and Devices: You can create multiple POS and stores and use multiple devices with the Loyverse POS app installed, all under the same account.
• Customer Loyalty Program: Loyverse sets itself apart with its built-in loyalty program, making it easier for businesses to manage customer relationships.
• Sales Analytics: Basic sales reporting is provided to help you assess your business performance and make informed decisions.

Pros and Cons

Pros of Loyverse POS

• Ease of Use: Loyverse POS is well-regarded for its user-friendly and intuitive interface.
• Built-in Loyalty Program: The integrated loyalty program is a unique feature that helps businesses build lasting customer relationships.
• Free Access: The basic POS system is entirely free, making it a very cost-effective solution for small businesses.
• 24/7 Customer Support: Loyverse offers round-the-clock customer support, particularly crucial for businesses operating in different time zones or outside traditional hours.

Cons of Loyverse POS

• Limited Advanced Features: While the free version offers ample functionality, some advanced features are only available as paid add-ons.
• No In-built Payment Processing: Unlike some other POS systems, Loyverse does not offer integrated payment processing and requires third-party integrations.

Toast

Toast POS is a cloud-based system built specifically for the food service industry. From food trucks to sit-down restaurants, Toast POS aims to simplify and streamline restaurant operations. The platform allows businesses to manage sales, inventory, menu, and customer data all in one place, both in-house and online.

Pricing

Toast POS offers a diverse array of pricing options to suit various business needs and budget constraints. One of the attractive pricing options is the Quick Start Bundle. This entry-level package, ideal for food trucks or single-location cafes, starts at $0 per month and includes the basic POS software and the initial hardware setup. While this package may initially appear as a completely free POS system for small businesses, it’s important to note that there are additional costs and hidden fees. For instance, subsequent hardware devices are not included in the base price and come with extra charges. Similarly, additional features and software upgrades are also available for additional costs. This emphasizes the importance of assessing your specific business needs and potential growth before making a decision.

Key features

• Order & Table Management: Toast enables efficient handling of orders and table assignments, contributing to smoother operations and better customer service.
• Reporting & Analytics: Basic sales and performance reports are available to help you understand your business better and make informed decisions.
• Menu Management: You can easily create, edit, and manage your menu through the Toast platform, enabling swift changes when needed.
• Toast Invoicing, Digital Menus, and Mobile Payments: These features aim to streamline your operations and enhance the customer experience.
• 24/7/365 Availability: Toast provides round-the-clock customer care to address your issues and concerns.

Pros and Cons

Pros of Toast POS

• Versatility: Toast POS caters to a wide range of food service businesses, offering flexibility to match various needs and operational styles.
• Ease of Use: The system is designed with a user-friendly interface, making it easier for both employees and managers to navigate.
• 24/7 Support: Toast offers constant customer support, an essential factor for businesses operating outside traditional hours or across multiple time zones.
• Customization: The option to build your own plan allows you to choose and pay for only the features you need.

Cons of Toast POS

• Limited Advanced Features in Free Plan: While the basic plan provides a good starting point, advanced features such as cost control, team management, online business growth tools, and more are not included.
• Additional Costs for Additional Devices: While the initial hardware setup is included in the Quick Start Bundle, additional charges apply for subsequent devices.

PayPal Zettle

PayPal Zettle is among the best free POS software designed to cater to both brick-and-mortar and online retailers. The system is designed to offer a seamless platform where business owners can manage sales, inventory, and customer data.

Pricing

The upfront cost for PayPal Zettle is quite appealing. It offers free entry-level software, which could be interpreted as a free POS system for small businesses.

However, while PayPal Zettle may be free upfront, there are certain costs to consider. The hardware required to run the POS system, such as the card reader, comes with a one-time fee. Additionally, each transaction processed through PayPal Zettle comes with a small percentage fee, which, while competitive, is a cost that businesses need to take into account.

Key features

• Ecommerce Integration: With PayPal Zettle, you can integrate with your BigCommerce or Shopify store.
• Basic Checkout Functionality: The point of sale system enables you to accept a variety of payment methods, issue refunds, and apply discounts with ease.
• Basic Reporting: You’ll receive standard analytics such as total sales, customer behavior, and product performance reports.

Pros and Cons

Pros of PayPal Zettle

• Ease of Use: PayPal Zettle is known for its user-friendly interface, making it easy for both staff and managers to navigate and use.
• Integration with PayPal Services: If you already use PayPal for online transactions, integrating with PayPal Zettle provides a seamless omnichannel experience.
• Versatile Payment Options: PayPal Zettle accepts a wide range of payment methods, enhancing customer convenience.

Cons of PayPal Zettle

• Limited Advanced Features: While the free software provides a good starting point, some advanced features, such as sophisticated stock management and detailed sales * analytics, are missing.
• Transaction Fees: Although PayPal Zettle is free upfront, transaction fees can accumulate, especially for businesses with high sales volume.
• Hardware Costs: While the software is free, the cost of hardware like the card reader is a one-time expense that businesses need to account for.
• Limited Support Hours: PayPal offers customer support 9:00 am – 5:00 pm on weekdays.

Helcim

Helcim is among the best free POS software tailored to serve both physical storefronts and online retailers. It’s designed to allow business owners to manage sales, inventory, and customer data efficiently, both in-store and online, offering a seamless experience.

Pricing

Helcim prides itself on its transparent pricing. It offers a free entry-level software plan, which may be appealing to those seeking the best free POS system for their small businesses.

However, while it may be free upfront, there are hidden costs that businesses must be aware of. Every transaction processed through Helcim comes with a small percentage fee, which, despite being competitive, is a cost that cannot be overlooked. Additionally, while the software is free, hardware like card readers and barcode scanners come with a separate charge.

Key features

• Checkout Functionality: The system supports a wide variety of payment methods, allows for easy application of discounts, and streamlines the refund process.
• Customer Relationship Management: Helcim enables the creation and management of customer profiles, tracking individual purchase histories and preferences and fostering a personalized shopping experience.
• Analytics and Reporting: Basic analytics on total sales, customer behavior, and product performance are provided to help businesses make data-driven decisions.

Pros and Cons

Pros of Helcim

• User-friendly Interface: Helcim is lauded for its intuitive user interface, which simplifies navigation for both employees and managers.
• Diverse Payment Options: Helcim accepts a wide range of payment methods, enhancing convenience for customers.
• 24/7 Support: Helcim offers round-the-clock customer support, a critical factor for businesses operating outside traditional hours.

Cons of Helcim

• Limited Advanced Features: While the free software provides a sound foundation, advanced features like sophisticated stock management and in-depth sales analytics are not included.
• Transaction Fees: While the software may be free upfront, the costs of transaction fees, based on your sales volumes, can accumulate, especially for businesses with high sales volume.
• Hardware Costs: The cost of its first-party hardware like a terminal is not included in the free software package and is quite costly.

Nextar

Nextar offers a comprehensive POS system designed for small and medium-sized businesses. Its interface provides an integrated platform where owners can efficiently manage sales, inventory, and customer data.

Pricing

Nextar’s entry-level plan, known as the “Free Plan,” might seem particularly attractive to those seeking the best free POS system for their small businesses. However, it’s essential to note that while the POS software is free upfront, there are additional costs to consider. For instance, transaction fees apply to sales processed through Nextar. Additionally, while the basic software is free, certain advanced features and functionalities are available only in the paid versions. Plus, businesses need to account for the cost of compatible hardware, such as card readers and barcode scanners.

Key features

• Inventory Management: Nextar makes inventory tracking and management a breeze, ensuring you never lose sight of your stock levels.
• Checkout Functionality: With the ability to accept a variety of payment methods, issue refunds, and apply discounts, Nextar’s checkout functionality simplifies sales processing.
• Customer Management: Nextar facilitates the creation and management of customer profiles, helping track individual purchase histories and preferences.
• Sales Reporting: Gain access to fundamental sales reports that can guide decision-making and help your business grow.

Pros and Cons

Pros of Nextar

• User-Friendly: One of Nextar’s key selling points is its user-friendly interface, which facilitates easy navigation and use.
• Offline Mode: Unlike many POS systems, Nextar can function offline, ensuring your sales operations are never disrupted.
• Multi-language Support: Nextar supports multiple languages, which can be particularly useful for businesses in multilingual regions.
• Customer Support: Nextar provides customer support through email or WhatsApp chat to help resolve any issues that arise, ensuring smooth operations.
• No First-party Hardware: So you can integrate Nextar with any mobile devices.

Cons of Nextar

• Limited Advanced Features: While the free software provides core functionalities, certain advanced features like in-depth analytics are only available in the paid versions.

Imonggo

Imonggo offers an intuitive POS system designed to streamline the sales, stock management, and customer engagement processes for small to medium-sized businesses. With its cloud-based system, Imonggo provides the flexibility and convenience that modern retailers need.

Pricing

Imonggo offers attractive free POS software that can cater to the needs of small businesses seeking a free POS system.

However, it’s important to remember that while the basic software is free, there are additional costs that businesses need to account for. For instance, the free plan includes a limit of 500 products and 500 invoices per month. If your operations exceed these limits, you would need to upgrade to the Premium Plan, which costs a monthly fee of $30 per branch. Also, while the software is free, businesses need to budget for compatible POS hardware, like barcode scanners and receipt printers.

Key features

• Inventory Management: Imonggo simplifies inventory tracking, ensuring efficient stock management.
• Sales Analysis: The system provides sales reports, helping you understand your business performance and guide decision-making.
• Checkout Functionality: Imonggo facilitates efficient sales transactions, and its user-friendly interface makes the checkout process a breeze.
• User and Branch Limit: The free plan supports one user and one branch, making it suitable for small businesses.

Pros and Cons

Pros of Imonggo

• User-Friendly: Imonggo’s simplicity and user-friendly interface make it easy for both employees and managers to navigate.
• Inventory Management: The system’s efficient inventory management feature helps businesses keep track of their stock levels.
• Sales Analysis: The sales analysis reports provided can inform strategic decisions to promote business growth.
• Flexible Upgrade Options: Imonggo offers a smooth upgrade path to their Premium Plan when your business is ready for more capabilities.
• Offline Mode: Unlike some POS systems, Imonggo allows merchants to continue selling without an internet connection.

Cons of Imonggo

• Limitations in Free Plan: The free plan has limitations on the number of products, invoices, and users.
• Limited Customer Support: Customer support is not available on the free plan.

Zobaze

Zobaze offers a straightforward and user-friendly POS solution designed to cater to businesses of varying sizes. It’s built to streamline the sales process, manage inventory efficiently, and provide useful analytics for business growth.

Pricing

At first glance, Zobaze appears to be a free POS system, an appealing prospect for small business owners who are just starting out or have budget constraints.

However, it’s crucial to understand that while the basic software might be free, there could be additional costs related to upgrading the system or using certain premium features. Furthermore, expenses associated with compatible POS hardware (like scanners, printers, etc.) aren’t covered in the software’s pricing and would be an extra consideration for your budget.

Key features

• User-friendly Interface: Zobaze offers a simple and intuitive platform, making the checkout process smooth and quick.
• Inventory Management: The system provides efficient tracking and managing of inventory, which is a crucial aspect of any retail business.
• Sales Analytics: Zobaze’s analytics tool provides valuable insights into sales trends and customer behavior, aiding in making informed business decisions.
• Scalability: Zobaze can grow with your business. As your needs become more complex, the system can be upgraded to offer more advanced features.

Pros and Cons

Pros of Zobaze

• Simplicity: Zobaze stands out due to its simple and intuitive design, making it easy to use even for beginners.
• Efficient Inventory Management: The ability to track and manage stock effectively is a significant advantage for businesses.
• Sales Analytics: The analytics tool provides essential sales insights, enabling effective decision-making.
• Scalability: The ability to scale up and access more advanced features as your business grows is a significant advantage of Zobaze.

Cons of Zobaze

• Limitations of the Free Version: While the free version is robust, it might lack some advanced features available in upgraded versions.

Overall Winner

• While each POS system offers a basic free version, there are substantial differences in their pricing structures, features, and associated fees. However, one platform distinguishes itself by delivering extensive services, a combination of user-friendliness, and cost-effectiveness — that platform is Shopify POS.

Why is Shopify POS the winner?

First, Shopify POS comes bundled with every Shopify plan, effectively making it a free POS system for small businesses. Moreover, it seamlessly integrates with your online Shopify store, providing a unified platform to manage both online and offline sales, enhancing the customer shopping experience.

The system is user-friendly, with an intuitive interface, which makes it easy for both employees and managers to navigate and use. Also, Shopify POS accepts a wide range of payment methods, enhancing customer convenience.

Not to forget, Shopify offers round-the-clock customer support, which can be a lifeline for small businesses operating outside conventional hours.

While Shopify POS Pro comes at an additional cost, it’s an investment worth considering as your business grows. It offers advanced inventory management, granular sales analytics, unlimited registers, and staff PINs, making it a scalable solution to cater to your evolving needs.

In terms of value for money and overall capabilities, Shopify POS proves to be the top choice. This system is thoughtfully crafted to serve the needs of both burgeoning small businesses and expanding enterprises. Also, it’s a flexible system that can be initiated on a small scale and can evolve alongside your business, providing necessary tools and features at every stage of growth.

When to Upgrade to a Paid Version

As a startup, independent retailer, food truck owner, or freelance retailer, finding cost-effective solutions for your business operations is crucial. To this end, a free POS system can seem like an alluring prospect.

However, as your business grows, you may start bumping against the limitations of your free POS plan, such as limited user accounts, lack of smart inventory management, and lack of support. These limitations tend to become noticeable particularly when your business enters a phase of expansion. It is at this point you might consider upgrading your plan.

Your inventory is growing

The free POS plans are typically designed for small businesses with a limited number of products. As your inventory expands, you may find the free POS plan falling short in managing the growing number of SKUs and the complexity associated with it.

You’re selling on multiple channels

In today’s retail world, selling on multiple channels is not a luxury, but a necessity. If your business is expanding to online platforms or you’re adding more brick-and-mortar locations, a free POS system may not be able to manage and synchronize data across all these channels.

You need advanced analytics

Free POS systems usually offer basic reporting and analytics. As your business grows, you need deeper insights to understand your sales, customer behaviors, and product performances.

You need better customer service and support

Most free POS systems offer limited customer support. As you scale, reliable and timely customer support becomes critical to promptly resolve any issues you encounter. While the cost might seem intimidating at first, the returns—through streamlined operations, detailed insights, and better customer service—can outweigh the initial investment. Just like how Shopify POS Lite users benefit by upgrading to Shopify POS Pro, you can find significant value in upgrading your free POS system to a more comprehensive paid plan.

Our Approach to Testing the Top Free POS Systems for Small Businesses

Here are the steps we employed to investigate and compile data on nine best free POS systems.

Identifying the Scope

The first step in our research process involved understanding the target audience: startups, independent retailers, food truck owners, and freelancer retailers. Since these businesses typically have limited resources and varying needs, the focus was on free POS systems that offer value without breaking the bank.

Shortlisting the Best Free POS Systems

We started with a comprehensive list of POS systems available in the market. Using a set of criteria such as pricing structure, ease of use, functionality, and scalability, we whittled the list down to nine POS systems that offer free plans or packages.

Deep Diving into Each POS System

With our shortlist ready, we delved into each POS system individually. This involved visiting their official websites, going through user manuals, etc.

For each POS system, we focused on key areas:

• Pricing: Noting the cost of the free plan and any hidden fees, as well as the price and benefits of upgrading to a paid plan.
• Features: Identifying the main features of each system and understanding how they can benefit small businesses.
• Pros and Cons: Evaluating the strengths and weaknesses of each POS system based on user reviews and personal exploration.

Verifying and Comparing Information

Once we compiled data on each POS system, we cross-checked the information from multiple sources to ensure its accuracy. Then, we compared the systems side-by-side, taking into account the differing needs of various small businesses.

Free POS System for Small Business: FAQs