If you are operating a business, chances are good that you will need a point-of-sale (POS) system to complete consumer purchase transactions – and bars are no exception. The components of a POS system include hardware, software, and operational features.
Not all POS systems are the same, and some will fit your business better than others. You may only need a simple system to complete business transactions, or you may require a full-service option that also monitors inventory, tracks employee tips, and integrates with other applications. Before choosing from the many great POS systems for restaurants and bars, evaluate your business’s needs and assess how each option fulfills those needs.
When it comes to shopping for POS systems options abound. Vendors cater to different industries so make sure to go with one that has experience working with bar and restaurant owners.
Chris Ligan, vice president of acquisitions at credit card processing company Auric, listed a few must-haves that every business, bar or otherwise, should look for in a POS system.
“When purchasing a point-of-sale system, make sure to pick a system that is flexible [and] has a good support service … with a strong call center,” Ligan told business.com. “Most importantly, find a system that does not hold you hostage by forcing you to use their merchant services, as the hardware you have should be open source.”
Editor’s note: Looking for the right POS system for your business? Fill out the below questionnaire to have our vendor partners contact you about your needs.
Locally hosted POS software is the legacy way of operating a POS system. With this option, your data is stored on site, which can cause problems for managers who need to access their data sets away from the bar. This option is more costly and typically only beneficial for extremely large establishments. If you are operating a small or midsize bar, cloud-based POS software is likely the best option for your business.
When choosing the best POS system for your bar, it is important to factor in the POS features you need and your available budget. You don’t want to be stuck with one that has all these bells and whistles you’ll never use or worse can’t grow with your business. To ensure you’re making a sound decision take the following things into consideration:
For a bar POS system, you will need to either purchase or lease your hardware components, though industry experts recommend avoiding leasing, as contracts are lengthy and noncancelable. A countertop POS station usually includes a tablet and stand, receipt printer, and cash drawer. You will also need a credit card terminal or card reader.
Depending on your needs and budget, you may want to incorporate other peripherals for a seamless POS station, including barcode scanners, scales and liquor control devices. Bars with kitchens and cocktail servers will need additional hardware. For example, if you serve food at your bar, you will need a kitchen printer or a kitchen display system (KDS).
“If you have cocktail servers, you will need a cocktail station or, even better, a mobile POS device to take orders at the table, but it is really a matter of personal preference or theme of the bar,” said Ligan.
Since bars are typically fast-paced environments that have occasional spills, smaller accessories like waterproof tablet cases can be a good investment to keep your equipment in good working condition. POS hardware like kiosks, digital menu boards and coin dispensers is available, but these are typically not necessary items for a bar POS system.
Most POS software is a software as a service (SaaS) and either web-based or app-based, although you also have the choice of a local server-based option. Ligan said the best POS software for your business will depend on your bar size and load.
Based on its affordability and ease of use, cloud-based POS software has become very popular in the business community. This type of software can be easily installed on your POS terminal or tablet and has a wide range of capabilities – a notable one being the ability for you to store and view your sales data online. The type of integrations you deploy with this software will depend on the plan you choose from your service provider. Although cloud-based software is easy to deploy and maintain for most bars, Ligan said it can be slow and prone to crash if you have an unstable internet connection.
When shopping for a POS system think about what features are important and which ones you can live without. The fewer the bells and whistles the less expensive it will be.
Locally hosted POS software is the legacy way of operating a POS system. With this option, your data is stored on site, which can cause problems for managers who need to access their data sets away from the bar. This option is more costly and typically only beneficial for extremely large establishments. If you are operating a small or midsize bar, cloud-based POS software is likely the best option for your business.
Before purchasing a cloud-hosted software option, speak with your internet provider to ensure a fast and stable connection.
When choosing a POS system for your bar, there are a number of choices to consider.
Upserve POS, formerly Breadcrumb, is our current choice as the best POS system for bars. Our review of Upserve found that it can accommodate large, multilocation bars, as well as smaller taverns and restaurants.
Key features
Upserve pricing
Plan | Monthly fee | Additional terminal costs |
Core | $59 per month and includes a single POS terminal | $60 per additional terminal |
Pro | $199 per month | $50 per additional terminal |
Pro Plus (Designed for organizations that manage multiple locations) | $359 per month | $40 per additional terminal |
Our comprehensive review of Lightspeed found that it has POS software designed specifically for bar and restaurant owners. It has a smorgasbord of services aimed at helping the hospitality industry run its businesses. Its mobile app is a bonus, enabling you to stay on top of your business from anywhere.
Key features
Lightspeed pricing
When reviewing TouchBistro it was easy to see why it is a leader in the restaurant POS market. It offers customers an affordable, easy-to-use system that has a lot of built-in features bar owners will appreciate.
Key features
TouchBistro pricing
Our review of Toast shows that it has a lot of features geared specifically toward establishments in the hospitality industry. One such tool is Toast Now, which lets you accept online ordering without the need to purchase more hardware.
Key features
Toast pricing
Plan | Monthly fees |
Starter | $69 to $90 per month |
Essential | $99 to $140 per month |
Growth | $189 to $290 per month |
Clover is a one-to-shop for bar and restaurants owners thanks to its POS and credit card processing services. When reviewing Clover we found that it has a vast network of resellers, making its hardware affordable. Couple that with robust POS software and you can see why it’s a top option for bars.
Key features
Clover pricing
The size and speed of your bar will play a role in what features your POS system should have. However, there are a few standard features that can be beneficial for every bar:
Ligan said bar owners should also look for these capabilities when choosing a POS system:
When determining how much a bar POS system will cost your business, you must first decide if you are going to lease or purchase your hardware. Many small businesses benefit from buying their POS hardware outright since POS leases can be tied to credit card processing and have lengthy contracts. Merchants should choose POS equipment that is “unlocked” so they can use it with another vendor if they decide to switch providers.
Although the cost per hardware device varies by provider, tablet-based systems are currently the most popular option and typically much less expensive than bulky legacy systems. Tablet-based systems are also beneficial for small bars that have a limited budget to start with but want to add peripheral pieces as their needs and capabilities grow.
Small bars typically benefit from cloud-based POS software offered on a month-to-month basis. Many companies offer discounts for merchants that pay annually in advance (usually 10% for one year or 20% for two years). Before taking advantage of these long-term discounts, you should be confident that you like the software enough and will still be in business for that length of time because there are usually no refunds. In this case, you can close your account and switch software; you just won’t get your money back.
Ligan said to look for POS systems that are open-source on merchant processing, which means they are compatible with almost any processor. This gives you the flexibility to change processors, if needed, and can ultimately save you money.
“When [a POS system] isn’t open-source, it’s basically like buying a car and then having to buy gas from the person who sold you that car,” said Ligan. “The gas prices are forever set by whatever the seller of the car decides that month.”
Some POS systems won’t work with every credit card processor. To ensure yours does, choose a POS system that is open-source on merchant processing. That means it’s compatible with most credit card processors.
There’s a lot of reasons POS systems are so popular with bar and restaurant owners. They can streamline many of the processes, freeing up time to keep customers happy and business growing. From controlling inventory to speeding up ordering, here are some of the top benefits of using a POS system in your bar.
Additional reporting by Donna Fuscaldo. Some source interviews were conducted for previous versions of this article.