Cash Registers vs. Point of Sale (POS) Systems
Choosing a Cash Register or POS System
The one item in a retail store a business owner can't do without is the cash management system. Whether it's the traditional, electronic cash register or an elaborate computerized point of sale (POS) system, every store needs a machine to process sales.
When the doors are open and the lights are on, the cash register becomes more than a safe place to store money. It has the ability to save money, quickly process a customer's transaction and accurately keep records.
One reason for the high initial expense involved with a cash register or point of sale system is that a business can expect to get many years of service from the first machine they buy. The life expectancy of a cash register is between 10-15 years, with upgrades around 5-7 years.
The amount of bells and whistles needed for a cash register will vary by type of business. Some questions to ask before choosing a point of sale system or cash register are:
· What tax must your business collect on a sale?
· How many departments are in your store?
· How many products do you carry now?
· How many in the future?
· How busy will your store be?
· Will you need more than one register?
· Will you accept coupons?
· How will your clerks process refunds?
· What types of payment does your business accept?
Which is better? Cash Registers or POS?
For a new business, the choice of cash register or POS system may simply depend on the budget of the retailer. Don't pass the responsibility of selecting the cash register to employees or a consultant. Do your homework. Before selecting a cash register or POS system, understand your business needs, the cash management options and hardware available; make your selection based on an educated decision.
Benefits of POS Systems
· More detailed reports
· Better track inventory
· Improve accuracy
· Easily grows with your business
· Prevent employee theft
Benefits of Cash Registers
· Low cost for startups
· Most models easy to use
· Fewer components