A POS system is synonymous with POS terminal. However, a POS terminal is the electronic equipment performing the sales transaction and processing the credit card payments. Used in most storefront businesses, a computer terminal combined with the POS software helps to manage everyday sales transactions and operations.
Like you learned, with the combination of the POS software and a POS terminal, you now have the full definition of a POS system. A point of sale system is the heart of a business and used for many essential tasks such as inventory management, labor reporting, menu customizations, price adjustments, staff management, sales reporting, customer management, marketing initiates, and so much more. The next time you’re at a restaurant or retail store, ask the clerk what type of system they are using, and you’ll soon learn there are hundreds of different kinds of systems out there.
To dive deeper into the meaning and definition, we are also going to explore the various types of POS systems for sale there are available on the market.
Why is a point of sale system needed for a restaurant? The primary reason you need a point of sale for a restaurant is to accept cash and credit card payments. In addition to receiving payments, you need to be able to track all your financial and tax data. Most POS solutions like the Harbortouch restaurant POS have reporting features built-in to monitor your transactions by date, time and type. But that’s only the beginning of the awesomeness.
There can be hundreds of features that can streamline your operations and make your restaurant more efficient. For instance, most restaurant POS systems allow you to put in an order and send the request directly to a kitchen printer reducing errors in the kitchen and increasing staff and food prep efficiency. Another benefit would be tracking inventory and food usage. You can also follow payroll with built-in time clock feature.
The main drawback of new or proprietary business software is there can be a slight learning curve involved when figuring out new technology.
Restaurant Pro Tip Summary: If you’re starting out, make sure your restaurant management system has all the features you need to operate your business at a price point that’s affordable with the features that allow you to grow.