What a POS system does
At its core, a POS system handles the moment a customer pays. Around that moment most systems also manage:
- A catalogue of products with prices, barcodes and tax rates.
- Sales, refunds, discounts and returns.
- Payments by cash, card and other methods.
- Receipts, printed or digital.
- Stock levels that fall with each sale.
- Shifts and cash drawers, with counts at the start and end.
- Reports on sales, products and staff.
How POS software works
The till runs on a computer, tablet or dedicated terminal, often with a barcode scanner, receipt printer and cash drawer attached. A sale is built by scanning or selecting items, the total is calculated with tax, and payment is recorded. Card payments are normally handled by a separate payment provider and card terminal; the POS software records the result.
Where the sales data lives varies. Cloud POS systems keep the business on the provider's servers and the till shows a view of it. Local POS systems keep the data on a computer in the shop. Some combine the two.
POS software and inventory
Because every sale removes items from stock, POS and inventory management are closely linked. Simple systems only reduce a count; fuller ones handle purchasing, deliveries, transfers between branches and stock takes. The distinction is explained in what inventory management software is.
Benefits for a small shop
A POS system replaces manual till rolls and spreadsheets with accurate records. It speeds up the queue, reduces pricing mistakes, shows what sells and what does not, and makes the end of day count quicker and more reliable.
Limitations and costs to watch
POS systems differ in how they charge: some by monthly subscription, some by a one-time licence, many with separate card processing fees on top. Hardware is often extra. Systems that depend on the internet can stop taking sales during an outage, which is a question worth asking before choosing; see whether POS software needs internet.
Examples of POS setups
A single-till corner shop may use one computer with a scanner and receipt printer. A shop with a back room and a front counter may run two tills sharing one catalogue. A small chain may need several branches to share products while keeping their own stock and cash.
Choosing a system
The questions to ask, from offline behaviour to accounting, are set out in how to choose POS software.
POS software from Aevornix
Aevornix POS is a local-first retail, stock and accounting system for small shops, sold on a one-time licence. The business runs from a file on the shop's own computer, several tills share one business through a Local Hub or a Sync Bridge, and selling carries on with no internet. See POS software that works offline for more.
Frequently asked questions
What is the difference between a POS and a cash register?
A cash register records sales and holds cash. A POS system adds a product catalogue, stock tracking, reports and usually integration with card payments.
Does POS software handle card payments itself?
Usually not directly. A payment provider processes the card; the POS software records the sale and the payment result.
Do I need special hardware?
A computer or tablet is enough to start. Barcode scanners, receipt printers and cash drawers are common additions.
