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Square vs. Lightspeed
Square and Lightspeed both enable business owners to accept payments and manage their businesses. Once you get down to the details, however, there are clear differences between the two.
How Square works
Square offers a full suite of integrated business tools, combining payments, hardware and cloud-based Point of Sale (POS) software. These all work seamlessly together to support businesses of all sizes to run more efficiently and grow. Many of these business tools are free, and designed to evolve with your business as you grow in size and complexity. Additionally, Square has hundreds of partner integrations ranging from cross-industry staples (e.g. accounting software) to niche tools for diverse business sectors including retail and hospitality.
With Square’s robust payment acceptance system, you can take both card and mobile payments, as well as offer buy now pay later (BNPL) through Afterpay. Square offers first-party POS hardware at affordable prices, which are widely used and loved by businesses worldwide. You can also use Square’s payment system without hardware through the Square Online platform, which allows you to get started for free and build a custom online store. Lastly, Square also offers industry specific POS solutions for hospitality (Square for Restaurants) and retail (Square for Retail) businesses. These are fit for purpose, built to equip businesses in those verticals with the most important tools they need to succeed.
How Lightspeed works
Lightspeed also facilitates the acceptance of card and mobile payments, and offers POS software for hospitality and retail industries. At present, however, it does not offer first-party solutions for critical business needs in Australia, such as POS hardware, online stores, BNPL services and more. For some of these areas, however, Lightspeed does offer options for you to integrate with other providers that support some of those functionalities, often at an additional cost.
Square vs. Lightspeed – a direct comparison table
Here is a table showing the key features of Square and Lightspeed. As previously mentioned, Square’s services are suitable for businesses of all sizes, big and small. Square also has a broad range of first-party tools and integrations, making it easier for businesses to choose the appropriate tools for their needs at any moment in time. That gives you flexibility to add or remove things as your business evolves, allowing your tech stack to grow with you, whilst empowering you to quickly adapt and pivot when necessary.
3.9/5
Square’s Trustpilot score
2.1/5
Lightspeed’s Trustpilot score
Cost comparison
| Square | Lightspeed | |
| Built-in payment processing solution |
Yes |
*Integration with Lightspeed Payments available |
| No chargeback fees | Yes |
$15 |
| Next day transfer as standard | Yes |
No |
| Instant transfer - access funds in minutes (for a fee) |
Yes |
No |
In-person payments
The systems begin to diverge in the range of options on offer once we start to look at what each provides for taking and processing in-person payments:
| Square | Lightspeed | |
| All-in-one POS system with customer display and built-in software |
Square Register - $1,099 | No |
| Portable EFTPOS machine with built-in receipt printer & pre-installed POS software |
Square Terminal - $329 | No |
| Countertop iPad POS stand with built-in card reader |
Square Stand - $149 | No |
| POS hardware starting price | Square Reader - $65 | No |
| Physical gift cards | Yes |
No |
| Afterpay acceptance in person | Yes |
Yes (Third party integration) |
| Built-in surcharge feature | Yes (Manual surcharge) |
Yes |
| Offline mode (Process card payments without internet access) |
Yes, with Square Terminal and Square Register |
No |
To summarise, both Square and Lightspeed offer cloud-based POS software. However, Square also provides a wide selection of first-party solutions, including payments and hardware, which all work seamlessly together. In addition to its comprehensive services, Square also offers bespoke partner integrations, which are available in the Square App Marketplace and also integrate smoothly with Square’s native solutions.
With Square, business owners have a convenient path to build a tech stack that works for their unique needs, powered by a reliable platform that is used and trusted by merchants in 6+ countries. With Lightspeed, the onus is on merchants to set up and manage their own integrations as necessary, often adding more cost and complexity to their everyday operations.
Online and remote payments
| Square | Lightspeed | |
| Free online store | Yes |
No |
| Photo Studio app for item library and online store |
Yes |
No |
| Payment links | Yes |
No |
| Invoicing software | Yes |
No |
| Virtual Terminal to take payments over the phone or on your computer |
Yes |
No |
| Afterpay acceptance online | Yes |
Yes (Third party integration) |
| e-Gift Cards | Yes |
No |
Solutions for retail stores
| Square | Lightspeed | |
| Retail POS System | Yes |
Yes |
| Free monthly plan | Yes |
No |
| Inventory management | Yes |
Yes |
| Unlimited items | Yes |
No |
| Auto-generate SKUs | Yes |
No |
| Auto create from GTIN | Yes |
No |
| Cross-location stock counts | Yes |
Yes |
| Customisable Item Grid | Yes |
No |
| Sell by weight / decimal | Yes |
No |
| Item categories | Yes |
Yes |
| Advanced item search | Yes |
No |
| Inventory counting tool | Yes |
Yes |
| Smart stock forecasts | Yes |
Yes |
| Barcode printing | Yes |
Yes |
| Cross-location returns and exchanges | Yes |
Yes |
| Automatic purchase orders | Yes |
Yes |
| Order history | Yes |
No |
| Vendor management | Yes |
Yes |
| Digital receipts | Yes |
Yes |
| Vendor sales reports | Yes |
Yes |
| Multi-store management | Yes |
Yes |
| CRM, Marketing & Loyalty | Starting from $49/mo | Starting from $160/mo |
| Team management software including rostering and time tracking |
Yes |
No |
| Sell on Instagram | Yes |
Yes |
Solutions for restaurants
| Square | Lightspeed | |
| Restaurant POS System | Yes |
Yes |
| Free monthly plan | Yes |
*Free plan only available when processing payments through Lightspeed Payments |
| First party hardware built for restaurants | Yes |
No |
| First party online & QR ordering | Yes |
No |
| First party Kitchen Display System | Yes |
No |
| Mobile POS | Yes |
No |
| Auto-menu creation | Yes |
No |
| Kitchen performance reports | Yes |
No |
| Floor plan customisation | Yes |
Yes |
| Course management | Yes |
Yes |
| Seat management | Yes |
Yes |
| Restaurant inventory management | Yes |
Yes |
| Advanced reporting (close of day, shift, live sales) |
Yes |
Yes |
| Team management software including rostering and time tracking |
Yes |
Yes |
| CRM, Marketing & Loyalty | Starting from $49/mo | Starting from $130/mo |
*Competitive data on this page was collected as of 18 September 2023 and is based on information found on lightspeedhq.com.au. This information is subject to change or update without notice. Square does not make any representations as to the completeness or accuracy of the information on this page.
Why businesses choose Square
Many businesses turn to Square because they want a secure and affordable payment system that’s easy to use. In particular, they appreciate the fact that Square offers POS hardware to suit all situations and budgets. Options range from the basic but effective Square Reader to the feature-rich Square Register and the all-around workhorse of the Square Terminal.
Once connected to Square, beyond payments and hardware, businesses may then discover the wide range of useful products and services also offered by Square, including native and integrated third-party solutions. Some businesses choose Square precisely because they want access to a solution that is guaranteed to work out of the box, but is still customisable.
Other businesses choose Square because of its attractive cost structure. For example, Square offers free plans for both Retail POS and Restaurant POS. In both cases, these free plans will provide most, if not all, the features many smaller businesses will need.
Offsite and online options
Some retailers now operate entirely online. Even if that’s not for you, offering customers an option to buy online is a great way to diversify your revenue streams. The same applies to restaurants, expanding their offers to also cover online orders, pick-up and delivery.
If you’re really not ready to commit to running a website, then Square paylinks allows you to send shoppable links directly to your customers (e.g. via email). Square also offers free invoicing software.
On the other hand, if you do want to run an online store, Square Online makes it easy. You don’t need any technical skills and it integrates seamlessly with Square Retail POS, Square Restaurants POS, as well as all other Square digital services.
Having an online store also allows you to leverage shoppable posts in social media including on Facebook and Instagram. Social selling can really expand your reach, especially with Gen Z and Millennial shoppers.
Square ecosystem offerings
Square is so much more than just a secure, easy-to-use and cost-effective way to accept payments. It’s a whole suite of tools and services designed to help all businesses to succeed on their own terms. For example, Square can help you to manage appointments, run a loyalty program or even get a business loan.
Get started with Square today.
Everything you need to run your business, anywhere, anytime.
Square has all the tools you need to reach your customers and grow your business, whether in person, online or both.
Set up a free online store that seamlessly syncs with your in-person sales, items and customer management.
Send an unlimited number of invoices, estimates or recurring invoices to request payments for goods & services.
Square Point of Sale is simple to set up, easy to use and has no monthly costs, you only pay processing fees.
Simplify your day with our web-based appointment scheduling software and app.
Streamline your operations with Square for Retail’s advanced Inventory & vendor management, reports, purchase orders, barcode label printing, and more.
Our restaurant POS system is built for speed. From menu management to coursing, every tool helps your team move faster.
Get your money deposited in your bank account as fast as the next day or instantly for a fee.
Hardware for selling anywhere.
The fastest and most secure way to pay. Accept chip and PIN cards, contactless payments, Apple Pay and Google Pay. An easy solution for your on-the-go business.
The all-in-one portable EFTPOS machine that lets you accept all kinds of payments easily and print (or email) receipts – the perfect solution for tableside services.
The fully integrated touchscreen point-of-sale that lets you start selling right out of the box. Manage card and contactless payments, online sales and more, all from one POS register.
Turn your iPad into a powerful point of sale with payments built in. In a swivel, Stand becomes a customer display, so you can sell accurately and customers can confirm their total and pay.
†Offer commences on 5 October 2023 at 8.00 a.m. AET and expires 18 October 2023, at 11:59 p.m. AET. Offer for 20% off Square Register (limit 3 per customer), Square Terminal (limit 3 per customer), Square Stand (limit 3 per customer) and Square Reader (2nd generation) (limit 3 per customer). Offer for $220 off Square Register Kit (limit 3 per customer) and $30 off Square Stand Kit (limit 3 per customer). Valid for Square customers located in Australia only with an Australian Square account. Each code is limited to one redemption per Square account holder. Offer not valid with guest checkout. Square reserves the right to modify, revoke or cancel the offer at any time. This offer cannot be combined with any other offer. Void where prohibited, not redeemable for cash, and non-transferable.
Frequently Asked Questions
You can go from downloading Square POS to making your first sale in minutes by signing up for your free account here. Our hardware works out of the box with no configuration required. You can create your own site with our website builder on Square Online or sync your existing ecommerce platform.
Our Support Centre can help with general questions, and once you have signed up for an account, you can contact our highly trained customer support team via phone or email.
Using the Square POS system is very intuitive. Most employers teach their new team members in a matter of minutes, not hours.
Yes. Square POS lets you set up and sync your online store in no time at all. You can also sell gift cards online, and sell through social media with a couple of taps.
Yes, sales from online and in person automatically update your inventory levels, and you automatically receive inventory alerts when you’re running low. It’s inventory management made easy. Learn more about our inventory management tools here.
Yes! Square’s app marketplace lets you find third party apps that you may already use and depend on. From accounting apps and eCommerce solutions to inventory and employee management, Square works with apps that can help with whatever your business needs. Learn more about our App Marketplace here.
Absolutely. Square is much more than the little white card reader and payment processing. We’ve been a champion for small business from the start, and with our suite of add-on features, you can pick and choose tools to suit the needs of your business. Beyond payment processing, you can manage teams, take payments in the field or at pop-ups on the mobile app, and sell online through Square Online. You can sell in person via pickup or delivery, and get paid with invoices or even over the phone, so you can manage your business with ease and reach your customers everywhere.