When a small POS software company closes it can leave retailers in the lurch.
A small POS software company is one with less than 1,000 customers. We say that in the knowledge of what it costs to properly support and maintain POS software. Less than 1,000 customers and you are unlikely to have the income necessary to properly fund the proper maintenance of the software.
We are sure there are small POS software companies with a few hundred customers, maybe even 600 customers who will disagree with what we have said. They will say they are big enough to maintain their software. The thing is, proper maintenance of POS softer requires contingency planning, appropriate redundancy and other protections built into their systems so that they can maintain their software in a timely manner and in a way to deliver good outcomes for small business retailers.
This issue of small POS software companies and the closure of a POS software company is on ur mind today as there is a small business out there that has dramatically dropped their price. We think it is at a price that is unsustainable for them. The deal feels like a race for cash for the business.
Our advice is do your homework, know the company you select software from, ensure they have what you will need for your lifetime use of the POS software. Cheapest is often not the best. it may be, but take your time, do your homework, ensure it is right for you and they have a financial stability to serve you as long as you expect.
Tower Systems is grateful to serve more than 3,500 retailers using our POS software with more being added weekly. We expect to pass 4,000 in a few weeks. 2021 is already looking good too with a pipeline of healthy opportunities where businesses plan ahead to switch software at a time that best serves their business needs.
There is one situation where partnering with a small software company is appropriate and that is in the case of a start-up. Start-ups or course start small. They are an important part of the software development eco-system in any country and need to be encouraged. There are many advantages going with a start-up. So, to be clear, our comments in this post do not relate to start-ups.