Choosing the Right POS for Your Small Business

The term Point-of-Sale (POS) may seem very technical, and it’s probably new to those who work outside of retail. But in truth, the Point-of-Sale or Point-of-Purchase system has been in practice for thousands of years already, when humans first learned to barter goods. Strictly speaking, the POS refers to the time and place in which a retail transaction, such as for a commodity or a consumer good, is completed. The selling merchant will indicate the amount owed by the customer, prepare an invoice, and dictate the mode of payment allowed.

What was originally a written system then evolved into the cash register—and today, the humble cash register has transformed into a smarter version of itself, possessing capacities such as customer relations management (CRM), inventory management, and employee management, in addition to accounting. This gears the whole POS system toward not only retail sales, but retail services in general.

As a representative of a small and fledgling business, you might have already thought of upgrading your POS software system. Though your line of work offers the freedom and fulfillment that may be lacking in the big corporate world, it also comes with its fair share of difficulties. Competition can be very brutal among small businesses, and even “hairline” errors can plunge a growing company into debt and obscurity.

This is why clinching every sale is crucial, as well as leaving a good impression on your customers. As such, it’s high time to read this primer on what a POS software system constitutes, how to go about choosing a reliable SAP partner, and how an upgraded POS will spell out bigger things for your small business.

What Qualities Will Make a POS Software Solution Ideal for Small Businesses?

POS software systems are now engineered to be adaptable to the digital age, especially in the service of small-to-medium enterprises (SMEs) like family companies and startups. Business products like SAP (short for System Applications Products) have garnered a worldwide following among SMEs. For their part, excellent work is being done to bridge even small-scale retailers closer to customers at the point of sale.

A POS software system licensed by SAP typically carries three components: the hardware components (monitors, barcode scanners, credit card payment terminals), the software components (software tools specific to sales reporting, customer management, and the like), and the feasible payment routes.

The qualities typically sought by other small businesses when they want to upgrade their POS systems are:

1. The POS software system’s capacity for customization and integration, especially for cloud computing;
2. The POS software system’s capacity to handle varied functions, such as payment processing, inventory management, CRM, employee management, and sales across platforms (both brick-and-mortar and online storefronts);
3. The POS’s flexibility in accepting different modes of payment (cash, credit card, value points from vouchers);
4. The POS software system’s user-friendliness and simple, straightforward, intuitive interface;
5. The POS’s guarantee of security for every purchase, and;
6. Reasonable costs (setup, processing, software fees) in implementing the POS software system.

It’s safe to say that once a small business owner finds POS software embodying all of these qualities, they know they’ve got a good deal on their hands.

A Better POS Readies Your Small Business for Bigger Things

In short, moving to increase efficiency with a PoS will also increase the likelihood of greater revenues, reduced business operating costs, and customer loyalty. With an optimized POS, a small business can help do away with stereotypes of being outdated, under-equipped, and unprepared to deal with a surging customer base. Just some of the benefits that can be attributed to a better POS are:

• Fast and efficient sales transactions. There will be fewer errors, fewer losses instigated by costly downtime, and fewer delays in keeping track of important sales data. All of these translate to reduced business costs at large, and higher revenues for the small business.
• Enhanced inventory management. Inventory management is crucial for small businesses, as supplies are limited and have less protective infrastructure along the chain. The POS will yield the necessary facts for a small business owner to stay on top of their inventory.
• Streamlined access. POS software systems may also be adapted throughout multiple store fronts, or “base camps.” The same precision and attention to detail on sales can be replicated across branches, as well as across both physical and digital platforms.
• Closure of the “service gap.” Improving transactions through the POS will be a means to take down the significant barrier that exists between small businesses and big businesses with heavy entrepreneurial machinery: the service gap. The POS software system will serve the interests of small businesses who want to be seen as legitimate, and just as capable of handling increased sales as bigger companies.
• Readiness for innovation. Aside from upping a small business’s legitimacy, an improved POS software system will better orient it toward technological proficiency, fast-changing consumer trends—and ultimately, business growth.

It’s amazing to see how much the point-of-sale system has evolved, and how businesses of all sizes have blossomed as a consequence. Choosing the right POS will be groundbreaking, and will truly bolster small businesses with big goals.