Small Business POS Guide: What Does POS Mean?

What does POS mean

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One of the most important tools any small business can have is a sophisticated yet simple-to-use POS system. What does POS mean? Well, POS stands for Point-Of-Sale, and these systems have replaced manual and even digital cash registers to facilitate transactions at your brick-and-mortar business and online. However, the best POS systems can do much more than just payment processing. Let’s go over how an all-in-one POS solution helps your business grow, no matter what products or services you sell.

POS System Features

There are two parts to all types of POS system: the hardware and the software. The hardware is the machine you’ll have at your shop or you’ll take to events in place of a traditional cash register. Not only will you have a way to take credit cards, cash, and other forms of payment like Apple Pay and Google Pay, but the touch screen also gives you additional ways to connect with customers.

If you have a purely online business, you may not need POS hardware. However, you’ll still need a way to collect money from customers. The software for a POS system not only allows you to take payments securely, but also gives you other functions such as:

  • Inventory management
  • Collecting data on customer metrics and sales trends
  • Supplier purchase tracking and warehouse management
  • Employee scheduling and hour tracking
  • Accepting gift cards
  • Managing multiple locations
  • Integration with email marketing systems
  • Creating and managing recurring payments or subscription products
  • Setting up a customer loyalty program

Here at Lifelong Merchant Services, we have experience helping small businesses find the best POS hardware and software for their specific needs. We work with businesses across the country, and no two are the same. A cookie-cutter solution is rarely the best option. We’ll help you figure out what features make sense for business. Our goal is to make choosing and setting up a POS system as easy as possible.

Understanding POS System Payment Processing and Fees

The most important part of a POS system for most small businesses is the payment processor. This will be the way you collect money when someone makes a purchase, so without it, your business can’t exist. The cheapest solution isn’t always the best one. Some payment processors are more secure than others are and some give you additional perks such as a free credit card terminal. Inexpensive payment processors are also not always super reliable, and processing downtime can have a huge negative impact on your business.

Typically, you’ll pay a transaction fee every time you take a payment. With some payment processors, you’ll pay a small flat amount plus a percentage of the transaction total and this amount is the same across the board. Others charge a different transaction fee depending on the type of payment. For example, you might pay a different amount to take a credit card versus Apple Pay. You might even pay a different amount if someone swipes the mag strip of a credit card versus using a chip to tap and pay. With some, you’ll pay for cash payments; with others, cash payments are free.

Sound confusing? It can be. That’s where we come in. We’re on your side and want to help you find the best payment processor for your small business. Instead of spending hours comparing the options, let us narrow down the choices.

Additionally, we’re happy to offer a dual pricing feature. This allows you to present your customers with different pricing options so you can cut down on your credit card processing fees. It’s one of the easiest ways to reinvest in your business.

FAQs About POS Solutions for Small Businesses

Learning “what does POS mean?” is just the beginning. Think of us as a team member to give you the best advice on all the tools you need for your business. We’ll take the pressure off, so you can focus on what matters: building your business. You should be an expert on your products and services. Let us be the expert on the best POS system to meet your needs.

We’re happy to answer any questions you have. Here are a few frequently asked questions to get you started:

What kind of businesses do you work with?

We work with all types of businesses. Whether you sell online, at brick-and-mortar stores, or at events and pop-up shops, we can help you. We’ve partnered with several different payment gateways to help you find the solution that’s right for your business. We do have a lot of experience working with vape shops and smoke shops, so even if your business has added complexities such as age verification during transactions, we can help.

How long does it take to get my money?

Every option has different processing terms, but we offer solutions for both next-day and same-day funding in many situations. We don’t want your business to suffer because there’s a cash flow delay with your payment processor.

Once I learn “what does POS mean,” what else do I need to know about payment processing?

When you work with our team, you don’t have to be a POS expert. We’ll help you optimize every transaction. From tracking your inventory to connecting with customers through a loyalty program with email blasts, we’ve got you covered. With the right POS system, you can see your profits increase overnight.

Are you ready to learn more? There’s never an application fee when you work with Lifelong Merchant Services. Contact us today to set up a free demo and consultation.

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