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William DawseyBy: William Dawsey


Every day, millions of people make purchases at retail and service businesses. The point of sale is the final moment of those transactions and can leave a strong impression on a shopper. A robust POS system that creates long wait times and confusion will push patrons toward your competitors.

Here's where we're going if you want to jump ahead:

How does a POS System work?

Cashier uses Custom POS System to receive payment from woman shopping

The original point of sale was the moment a customer handed a payment to a merchant. Early cash registers increased security, but they were still just an organized way to store money and provide change.

As POS systems entered the computer age, they became multi-functional. The check stand that scanned prices could also work with software that maintained inventory.

Today, POS systems are everywhere, a good example is a Clover Station Point of Sale (POS) System, customers can make any payment through any Clover-approved accessory, and merchants can accept digital payments via cloud-based payment processing services. Modern merchants have many choices when it comes to choosing a functional POS system.

Key Components of a POS System

Nowadays, any modern POS system must have two major components:

Critical POS Features

A terminal application is a crucial feature any custom POS needs to have, and it allows customers to pay for their items, confirming the purchase is authorized, and then emailing or printing the receipt.

POS terminals feed operational information into a system that makes it available with just a few clicks; it reports on every transaction that occurs.

Cloud based POS (including mobile POS system), self-service kiosks, or on-premise terminal applications have advanced data-mining systems that recognize any purchase aligned to any customer's or any organization current situation so they can execute better business decisions.

Additional Features:

Inventory Management

  • Product import
  • Integration with ecommerce
  • Stock levels and alerts
  • Product category
  • Attributes, variants, options and modifiers

Payment Options

  • Integrated card payments
  • Split tenders/bills
  • Refunds
  • No sales out/in expenses
  • Gift cards

Loyalty function/Customer management

  • Integration with marketing
  • Store credit
  • Customer analytics and profiles
  • Custom offers and perks

Location Management

  • Multi-location
  • Stock transfers
  • Analysis based on location
  • Cash register management

Access Control

  • User accounts/log-in
  • Staff report
  • Timesheet reports
  • Wages report
  • Training
  • Admin accounts
  • Employee permissions

Internet and Hardware

  • Other or additional POS equipment
  • Offline
  • OS compatible

The most effective Point of Sale systems will integrate with your other software solutions and provide you multiple functionalities for:

Ensuring your POS solution complies with the above can get somewhat complex, and outsourcing might be a practical option.

How to Build Custom POS Software

A Custom POS System is divided into two categories: Fully integrated or Semi-integrated.

Fully integrated: All software and hardware are compatible and work together ready to be installed and can lead to optimal performance improved efficiency resulting in huge cost and time saving.

Semi-integrated: A semi-integrated method can solve limitations; for example, if your POS system is missing key functionalities such as mobile payments, having this extra feature added is a perfect example.

Our professional developers create specialized payments experience for merchants selling anything from mainstream consumer products to niche industry items and everything in between.

Choosing the Best POS: What are Merchants Looking for?

Easy to Use

Your POS experience should be user-friendly; you should provide a POS system that is easy enough to use, so merchants do not need to consult your manual or call you for tech support all the time.


Your point-of-sale system should integrate with various tools, apps, and third-party software systems. Merchants are constantly seeking out systems that seamlessly integrate with third-party vendors to create a native software solution.


Does your POS system automate processes or reduce any manual input? A good POS should allow point of sale data to be used from the supply chain or logistics to update inventory or execute orders.

PCI Compliance

Security is a must, especially for small businesses; offering a good POS compliant with PIC data security standards, and will assure merchants your solution can further safeguard customer’s payment data with tokenization or end-to-end encryption.


It is of great value to offer support to merchant to offer support to merchants, whether it is a minor technical issue or even helping setting up the whole POS system; merchants look for a solution that provides support 24/7 via chat, email, or phone.

Professional Custom POS Software Solutions

At Chetu, we have helped thousands of businesses with custom software solutions. Your business can rely on us for:

Are you an MSP, PayFac, or PSP? Our POS specialists will work with you to develop either a fully or semi-integrated point-of-sale system with maximum benefits for multi-merchants and niche industries with easy implementation.


Chetu, Inc. does not affect the opinion of this article. Any mention of specific names for software, companies or individuals does not constitute an endorsement from either party unless otherwise specified. All case studies and blogs are written with the full cooperation, knowledge and participation of the individuals mentioned. This blog should not be construed as legal advice.

Chetu was incorporated in 2000 and is headquartered in Florida. We deliver World-Class Software Development Solutions serving entrepreneurs to Fortune 500 clients. Our services include process and systems design, package implementation, custom development, business intelligence and reporting, systems integration, as well as testing, maintenance and support. Chetu's expertise spans across the entire IT spectrum.

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