Square Review: Features, Pricing, and Pros & Cons

Square is a powerful payment processing and point-of-sale (POS) platform that caters to businesses of all sizes, from fledgling startups to large multi-location enterprises. In this Square review, we’ll explore the various features, benefits, and drawbacks of using Square as a payment system, specifically focusing on the Square card reader, Square Terminal, and its other offerings for small businesses.

Why Small Businesses Choose Square

Square is a top choice for small businesses, primarily because it offers a user-friendly POS system with no monthly fees for the basic plan. This makes it an ideal option for businesses that want to start accepting credit card payments without a significant upfront investment. Square’s transaction fee structure is transparent and flat, which is a major perk for businesses with fluctuating monthly turnovers.

Square Payment Processing Fees

Payment processing can be a complicated affair, often involving multiple fees from card companies, banks, and compliance standards. Square simplifies this by offering a straightforward fee structure, which includes:

• Card-present payments: For contactless card payments made using a Square Reader, Square Terminal, Square Register, or Square Stand, the transaction fee is 1.75% per transaction.
• Keyed payments: If you manually enter a card number or process payments through Square’s eCommerce API, Square Online Store, or online invoicing, the fee is 2.5% per transaction.
• Online payments: Payments made via Square Online Checkout or through the Square Online Store are charged at 1.4% plus 25 pence for UK cards and 2.5% plus 25 pence for non-UK cards.

Square Hardware and Software

Square offers a variety of hardware options that integrate seamlessly with its POS software, which is available for free on the Apple App Store and Google Play Store. Some of the popular devices include:

• Square Reader for contactless and chip: This compact device accepts payments via contactless methods, such as Apple Pay and Google Pay, as well as chip cards. It’s priced at £19 (+VAT), or £29 (+VAT) with a charging dock.
• Square Stand for contactless and chip: This turns your iPad into a fully functional checkout station. It’s available for £99 (+VAT) or £17 per month for six months.
• Square Terminal: An all-in-one device with a built-in display, chip reader, magstripe reader, and receipt printer. It costs £149 (+VAT) or £25 per month for six months.
• Square Register: A premium device that can process payments from various methods, including magstripes, chip cards, and digital wallets like Apple Pay and Google Pay. It’s priced at £599 (+VAT) or £50 per month for 12 months.

Core Square Services

Square provides several specialized services that cater to different business needs:

• Square POS: Free forever, this basic POS system is ideal for businesses just starting out.
• Square Appointments: Free for individuals, this service costs £29 per month for businesses with 2-5 employees, and £69 per month for those with 6-10 employees.
• Square for Restaurants: Designed specifically for the food and beverage industry, it offers end-to-end restaurant management. Plans start at £69 per location.
• Square for Retail: Tailored for retail businesses, this service starts at £49 per location.

Square’s Additional Offerings

Square also offers a variety of add-on services that can enhance your business operations:

• Invoicing: 1.75% – 2.5% per payment.
• Loyalty programs: Starting at £25 per location, per month.
• Marketing tools: From £9 per month for up to 500 customers.
• Team management: Free basic plan, with a Plus plan at £20 per location per month.

Comparing Square with Competitors

When stacked against competitors like Shopify and Lightspeed, Square stands out for its zero monthly fees and included basic hardware. However, it lacks 24/7 customer support, which both Shopify and Lightspeed offer.

Is Square Right for Your Business?

If you’re just starting out or have a business with fluctuating revenue, Square could be an excellent choice. It’s particularly appealing for businesses that need a reliable POS system without a significant initial investment. However, if your transaction volume is high, Square’s flat transaction fee might become costly, and you may need to consider other options or negotiate a custom plan with Square.

Square Customer Support and Potential Drawbacks

Square’s customer support is available only during business hours, which might be a limitation for some businesses. Additionally, while the flat fee structure simplifies things, it can become expensive as your transaction volume grows. Moreover, Square has a list of prohibited goods and services, and if your business falls into one of these categories, your Square account could be frozen without notice.

Final Thoughts: Is Square the Right Choice?

Square is a versatile, affordable, and user-friendly payment system that has proven to be a strong choice for small businesses over the years. With its free POS software, a variety of hardware options, and transparent pricing, Square makes it easy for businesses to start accepting credit and debit card payments. However, as with any service, it’s important to evaluate whether Square’s features and fee structure align with your business needs. If you’re thinking about using Square, this review should give you a solid understanding of what to expect.

Whether you’re looking to use Square for retail, restaurants, or services, it’s clear that Square has become a significant player in the POS market. Signing up for a Square account is free, with no commitments or long-term contracts required.