Retail POS “Small business” here means roughly what it sounds like: one or two registers, one or two staff, and card volume under about $15k/month. At that scale the calculus flips versus our overall retail ranking: deep back-office features stop mattering, and entry cost, processing rate and setup effort decide everything. Square's Free plan leads this page; Lightspeed — our inventory winner — is honestly the odd one out for most small shops, and we say so below.
Quick Picks
Square
A $0/mo plan, flat 2.6% + 15¢ in-person processing and a $59 reader to start. The lowest-friction way to open a small store in 2026.
Jump to full breakdown ↓Shopify POS
From $20/mo (annual) with POS Lite included, one inventory for your website and your register, and BOPIS built in. The value leader once online sales enter the picture.
Jump to full breakdown ↓Clover
Polished devices you own outright, from a ~$49–99 Go reader up. Caveat: software fees and rates are set by resellers, so shop the quote, not the brochure.
Jump to full breakdown ↓Lightspeed Retail
The deepest inventory system here — and priced like it (~$89/mo annual, quoted). Most small, simple stores will never touch the features that justify it.
Jump to full breakdown ↓Comparison Table
| Square | Shopify POS | Clover | Lightspeed Retail | |
|---|---|---|---|---|
| Our overall score | 3.8 / 5 | 4.0 / 5 | 3.0 / 5 | 3.6 / 5 |
| Fit for small stores (this page) | Best fit | Strong fit | Conditional | Usually overkill |
| Starting software cost | $0/mo | $20/mo annual ($27 monthly) | $16/mo Starter (official)* | ~$89/mo annual* |
| Entry hardware | $10 magstripe / $59 reader | $49 Tap & Chip reader | Go ~$49–99 (street) | iPad kit ~$500–2,000 (est.) |
| In-person processing | 2.6% + 15¢ (Free) | ~2.6–2.7% (Basic) | 2.6% / 2.3% + 10¢ (official)* | 2.6% + 10¢ |
| Own processor allowed? | No — Square required | Yes (extra fee 0.6–2%) | Tied to reseller | Lightspeed Payments required on Basic |
| Inventory tools | Gated to Plus ($49) | Gated to Pro ($89/location) | Paid apps | Native, deep |
| Online selling | Square Online, all plans | Full storefront (core product) | App-based | In transition (verify) |
| Free trial | 30 days (paid plans) | 3 days + $1/mo × 3 months | Varies by reseller | Demo / trial (verify) |
* Clover figures are official online bundle prices (clover.com/pricing/retail, 2026-09-05; reseller quotes may differ); Lightspeed figures are official annual-billing prices (verified 2026-09-05).
The Rankings
1. Square — Best Budget Pick for Small Stores
3.8/5
For a simple store that just needs to take payments, Square's Free plan is the best deal in retail POS: $0 per month, 2.6% + 15¢ per in-person transaction, and setup that realistically takes an afternoon. You can start with Tap to Pay on your phone (no hardware at all), a $10 magstripe reader, or the $59 contactless + chip reader — and Square Online gives you a basic web store on the same free plan.
The honest catches: the October 2025 plan revamp moved core retail workflows behind paywalls — inventory tracking, purchase orders and barcode labels all need Plus ($49/mo per location), and Square requires Square processing, so you can never shop your card rate. Phone support on the Free plan also ends after your first 90 days. If your workflows stay simple, none of that matters; if they grow, budget for Plus.
Pros
- No monthly fee on the Free plan
- Simple flat-rate processing, no surprises
- Easiest setup and cleanest UI of the four
- Cheapest entry hardware ($10–59 readers)
- Square Online store included free
Cons
- Inventory tracking, POs and barcode labels gated to Plus ($49)
- Square processing is mandatory
- 15¢ per transaction adds up on tiny tickets
- Free-plan phone support ends after 90 days
Choose Square if: you run one small store, card volume is under ~$10–15k/month, and you want the lowest possible fixed cost. Read the full Square review or visit Square →
2. Shopify POS — Best Value If You Sell Online Too
4.0/5
If any meaningful share of your sales happens online — or will within a year — Shopify POS is the better value despite its subscription. Basic costs $27/mo ($20/mo billed annually) and includes POS Lite plus the full Shopify storefront: one product catalog, inventory that syncs both ways, and buy-online-pick-up-in-store from day one. In-person processing runs ~2.6–2.7% on Basic, and a $49 Tap & Chip reader plus a tablet you already own gets the register running.
The math versus Square is simple: Shopify charges a flat subscription while Square charges 15¢ per transaction, so at roughly 130–180+ transactions/month Shopify Basic's total cost catches and passes under Square Free's. The same catch pattern applies, though: the serious retail tools (staff permissions, purchase orders, returns at any location) sit behind POS Pro at $89/mo per location, and skipping Shopify Payments costs an extra 2% on Basic. Card payments also don't work offline.
Pros
- POS Lite included from $20/mo (annual)
- Best-in-class online + in-store sync and BOPIS
- Flat subscription beats per-transaction fees at modest volume
- Works on your own tablet; $49 entry reader
Cons
- POS Pro ($89/location) gates staff permissions, POs, cross-location returns
- Up to 2% extra fee without Shopify Payments
- Card payments don't work offline
- Subscription costs more than Square Free at very low volume
Choose Shopify POS if: you sell online and in-store (or plan to within a year) and want one system for both from the start. Read the full Shopify POS review or visit Shopify POS →
3. Clover — Best If Hardware Feel Matters Most
3.0/5
Clover's case for a small store is its hardware: the Go card reader (~$49–99 street), Flex handheld and Mini are polished, reliable, and you buy them once rather than renting. Day-to-day selling is genuinely intuitive, and the App Market can bolt on loyalty, ecommerce or advanced inventory later if you need it.
Pros
- Excellent one-time-purchase hardware
- Intuitive register, fast staff training
- Large App Market for add-ons later
- Wide reseller availability
Cons
- Reseller-dependent final rates; online bundles on 36-month terms
- Key retail features (e.g., purchase orders) need paid apps
- Contract terms vary — some multi-year with termination fees
- Hardware generally locked to the activating reseller
Choose Clover if: you value buy-once hardware and simple daily operation, and you're willing to shop two or three reseller quotes before committing. Read the full Clover review or visit Clover →
4. Lightspeed Retail — Powerful, but Usually Overkill Here
3.6/5
We'll be blunt: Lightspeed Retail is the strongest inventory system we track (purchase orders, receiving, transfers, serialized items, cycle counts) and the best reporting — and almost none of that helps a small store with simple workflows and modest volume. What it does give a small store is a higher bill: officially $89/mo on annual billing for the Basic plan, Lightspeed Payments required on that tier, iPad-only hardware, and a steeper learning curve than Square or Shopify.
Pros
- Best-in-class inventory depth if you grow into it
- Strongest reporting of the four
- 24/7 chat + phone support reported on all tiers
Cons
- Highest entry cost (~$89/mo annual, quoted)
- Lightspeed Payments required on Basic
- iPad-only; steeper learning curve
- Annual billing standard — verify terms
Choose Lightspeed if: your small store today is a genuinely inventory-heavy business tomorrow. Everyone else should start with Square or Shopify. Read the full Lightspeed review or visit Lightspeed →
How We Chose
What a Small Store Actually Pays
Scenario: one store doing $10,000/month in card sales across roughly 150 transactions (≈ $67 average ticket):
| Cost line | Square (Free) | Shopify (Basic, annual) | Clover (Starter, official) | Lightspeed (official) |
|---|---|---|---|---|
| Software /mo | $0 | $20 | $16 | $89 |
| Processing /mo | ~$283 (2.6% + 15¢ × 150) | ~$260 (~2.6%) | ~$275 (~2.6% + 10¢ × 150) | ~$275 (~2.6% + 10¢ × 150) |
| Total /mo | ~$283 | ~$280 | ~$291 | ~$364 |
| Year one (incl. entry hardware) | ~$3,450 | ~$3,410 | ~$3,540–4,090 | ~$4,870–6,370 |
Clover year-one range reflects hardware from a ~$49 Go reader (street) to a ~$599 Flex, with the official Compact at $349 in between; Lightspeed range reflects third-party hardware estimates of ~$500–2,000 for a single-register iPad setup. All processing rates shown are official.
Three lessons from the table. First, at low volume the leaders are separated by pocket change — processing fees are ~90% of the bill, so your card rate matters more than your subscription. Second, Square Free holds its lead only below roughly 130–180 transactions/month (depending on Shopify billing); above that, Shopify's flat subscription wins. Third, Lightspeed costs ~$100+/month more than the leaders here while its signature features go unused — which is exactly why it ranks last for this page despite being the strongest inventory system. Full breakdowns in our pricing guides.
FAQ
What is the cheapest POS system for a very small store?
Square's Free plan: $0/month, 2.6% + 15¢ per in-person transaction, and you can start with Tap to Pay on your phone or a $10–59 reader. It holds the cost lead up to roughly 130–180 transactions/month; above that, Shopify Basic (from $20/mo annual) tends to come out ahead.
Should I start on Square Free or jump straight to Plus?
Start Free. You only need Plus ($49/mo per location) when a specific gate blocks you: inventory tracking on hand, purchase orders, barcode label printing or stock counts. The 30-day free trial on paid plans lets you test Plus against your real catalog before paying.
Is Shopify POS worth it if I don't sell online?
Usually no — Square is cheaper for offline-only stores at low volume. But if you expect to add online sales within a year, starting on Shopify avoids migrating systems twice, and its flat subscription already competes with Square above ~130–180 transactions/month.
Are Clover's advertised low prices real?
Clover now publishes official online bundles (verified 2026-09-05): Starter $16/mo × 36 or $349 one-time, Retail Growth $84.95/mo plus $1,899 hardware — on 36-month terms, and Fiserv reseller quotes can still vary. Get the rate, fees, contract length and hardware price in writing before signing.
When should a small store actually consider Lightspeed?
When inventory operations are the business — high SKU counts, serialized items, frequent receiving — and you'll use those tools from day one. For a simple low-volume store, Lightspeed's ~$89/mo annual entry price and payments bundling buy features you won't touch. See our inventory management ranking for that comparison.
For most small retail businesses in 2026: Square Free if you're offline-first and budget-led, Shopify POS Basic if online sales are part of the picture, Clover if buy-once hardware matters most and you'll shop reseller quotes, and Lightspeed only if you're genuinely inventory-heavy from day one. Whichever you pick, get processing rates in writing.
Prices and rates last checked 2026-08-09 against vendor pricing pages and independent sources. Square figures reflect the October 2025 plan restructuring. Clover and Lightspeed figures are quote-level (official pages blocked our check); confirm with the vendor before signing.