POS software is a crucial investment that optimizes daily operations for your cannabis dispensary. POS software has the potential to dramatically improve cannabis dispensary operations by streamlining and automating numerous essential tasks.
The best POS software comes with complementary tools and integrations with the capabilities to increase efficiency, improve customer satisfaction, and can help your dispensary bring in more consumers.
The key to choosing the right POS software and hardware is to invest in a service that meets your dispensary’s unique needs, without overpaying for features that you don’t.
The following informational article was created to help cannabis dispensary owners choose the best POS software for their unique business needs. We will explore the capabilities of POS software to help you determine which features are important to your operation.
What Is POS Software?
POS, or point-of-sale, is the software and hardware that cannabis dispensaries use to process payment transactions.
For example, the cash register in a regular department store is considered a point-of-sale. The point of sale is any location at which a transaction occurs.
Modern POS systems allow for transactions to occur anywhere throughout the store on a tablet or mobile hardware, or online through electronic check or credit processing.
Advanced POS software solutions now offer more than just a way to process payments. Modern technological advancements also allow dispensaries to streamline numerous operations and optimize processes.
Is Cannabis-Specific POS Software Necessary?
Non-compliance is a huge threat to businesses that operate within any high-risk industry, especially cannabis. Accident and intentional failure to comply with local, state, and federal regulations has destroyed the livelihood of tens of thousands of cannabis businesses.
These regulations affect dispensary owners, transporters, cultivators, and various other businesses that deal in cannabis products, tools, and services.
Do not settle for a jack-of-all-trades software solution. It is critical to choose a POS software and service provider that develops programs exclusively for the cannabis industry.
Cannabis-specific software is developed with local, state, and federal compliance in mind. This is critically important for protecting your investment.
Why do Cannabis Businesses Need Payment Processing?
One of the biggest barriers in the cannabis industry is obtaining secure, affordable, and compliant payment processing solutions. Cannabis dispensaries were limited to dealing in cash-only operations for many years due to financial and legal barriers.
Cash operations are at a high risk of non-compliance due to inaccurate bookkeeping, reporting, and other accounting issues. IRS knows that the likelihood of non-compliance is high for these dispensaries and targets these organizations during their annual audits.
Dealing in cash is also unsafe due to the increased risk of internal and external theft.
Cash-only businesses also miss out on a huge consumer base. Customers need a variety of payment options to keep them happy. Failure to offer consumers the payment options they seek is unsatisfactory.
There are several software solutions agencies that have identified this critical need for legal cannabis banking and POS technologies. These organizations have risen to the challenge and developed unique cannabis-specific software solutions that meet the needs of businesses across the industry.
Never Use Free POS Software
It can be tempting to try free POS software because of the inaccurate and false promises that are advertised. Many free POS programs promise to provide businesses with the same features as paid software. This is not true as these programs are loaded with hidden fees, including costs for each payment transaction incurred, paid customer support, and lack of necessary tools.
Nothing is truly free, and it is a dangerous poor decision to utilize these ‘free’ POS systems. These tools are dangerous, putting your cannabis business and its customers at risk of personal data breaches. These breaches could destroy your customer relationships, brand image, and result in excessive short and long-term financial damages.
Free POS software also does not provide cannabis dispensaries with the advanced tools that they need to operate a successful business, including inventory management, data tracking, and management tools.
Key Elements of The Right POS Software
Choosing the best POS software will require research into which companies offer the tools that your business needs. There are also additional elements that the right POS software should possess to work well for your dispensary staff and satisfy customers.
Important Elements of Cannabis POS Software Include:
- 24/7 Customer Support Included
- Scalability to Grow w/ Your Dispensary
- Compliance Tools
- Multi-locational Capabilities
The right POS system should be easy to utilize within your dispensary and easy to teach to all employees. The program that you choose should also allow customers to access your store via a portable terminal, such as a tablet, rather than stand in line. Customers can browse inventory and make purchases on the tablet quickly and securely.
Essential POS System Tools
There are several tools and integration that POS systems provide their clients. These are essential for maximizing business growth.
Cannabis Inventory Management Tools
POS inventory management tools are essential for increasing profit, reducing the risk of internal threats, and keeping the products that customers want on the shelf. These tools inform management when stocks are low and reveal which products are selling the most successfully.
Insight and Data Tracking
POS software also provides cannabis dispensaries with a wide range of data that can be used to improve business conditions.
Data Reports Reveal:
- Peak Business Days and Hours
- Customer Retention Rates
- Profit Margins
- Consumer Shopping Habits
This information can be used to staff your operation more efficiently and save money in numerous elements of a business.
These programs also come with numerous compliance tools to help cannabis dispensaries remain legal in the industry.
Cannabis Compliance Tools Include:
- Automatic Tax Calculations
- ID Verification Tools
- Cannabis Delivery Integrations
- Automatic Reporting to Necessary Agencies
These integrations ensure that cannabis organizations remain compliant so that they can focus on more important business matters.
Top 6 Cannabis POS Systems of 2022
Reports are in and here are the top 6 cannabis POS systems of 2022.
Contestants were evaluated based on the use of services, scalability, and list of available features.
In conclusion, the right POS software solutions provide dispensary owners with the tools they need to grow and succeed in a competitive industry. Be sure to check out other cannabis-specific solutions that have the potential to help your operations grow.