You're about to choose between Clover and Square, but the pricing information keeps changing depending on where you look. Square advertises "no monthly fees," while Clover's rates vary by provider, and you can't figure out which one actually costs less.
Both Clover and Square rank among the most popular POS systems for small businesses, each serving millions of merchants with different pricing models and feature sets. Payment processing costs remain one of the top operational concerns for independent retailers, making your choice between these platforms crucial for long-term profitability. Square offers transparent flat-rate pricing with no monthly fees on its free plan, while Clover provides more customization through merchant services providers but requires monthly software subscriptions ranging from $14.95 to $165 or more.
This guide breaks down the real cost differences, feature comparisons, and business scenarios where each platform excels. Understanding these distinctions helps you choose the POS system that fits your workflow rather than forcing your business to adapt to the software.
Why your POS system choice matters
The point-of-sale system you pick affects far more than how you swipe cards. It shapes your daily workflow, how quickly you access your money, and the experience your customers have at checkout. Processing fees compound over thousands of transactions. Settlement delays can strain cash flow when you need to restock inventory or cover payroll. Clunky software frustrates staff and slows down service during your busiest hours.
Two platforms dominate the conversation when business owners compare options: Clover and Square. Both serve millions of merchants, but they approach pricing, hardware, and software very differently. Understanding those differences helps you make a decision that fits your business needs rather than the other way around.
Before diving into the clover vs square comparison, consider whether a traditional POS system is even necessary for your situation. Modern mobile payment solutions like JIM turn your iPhone into a contactless payment terminal with no card reader required. JIM charges a flat 1.99% per transaction with instant payouts to your JIM Visa® Prepaid Card. There are no monthly fees, no hardware costs, and no contracts. For mobile businesses, pop-up shops, and entrepreneurs who value simplicity, it's worth exploring before committing to more complex systems.
What is Clover?
Clover is owned by Fiserv, one of the largest payment processing companies in the world. It operates primarily through banks and independent merchant services providers who resell the hardware and software plans. This means your pricing, contract terms, and support experience can vary widely depending on who you purchase from. Clover's strength lies in its robust hardware lineup and customizable software designed for specific industries like restaurants and retail.
What is Square?
Square launched as a software-first payment processor that put simplicity at the forefront. It sells directly to merchants through its website and retail stores, offering transparent pricing that doesn't require a sales call. Square's ecosystem includes the POS software, hardware, payroll, banking services, and an online store builder. The company targets startups, solopreneurs, and small businesses that want to get up and running quickly without navigating complex merchant account relationships.
Both platforms serve millions of merchants and rank among the best POS systems for small businesses. Neither is universally "better." The right choice depends on your transaction volume, feature requirements, and budget.
Pricing comparison: Clover vs Square fees
Cost is usually the first concern when comparing payment processors. The pricing structures for Clover and Square look different on the surface, and understanding the total cost of ownership requires looking beyond the advertised rates to include monthly fees, hardware costs, and hidden charges that appear after you sign up.
Square pricing structure
Square offers a free plan that includes its core POS software. You pay nothing monthly and only incur costs when you process payments. The transaction fees are published clearly on Square's website: 2.6% + $0.10 per transaction with a card reader, 2.5% + $0.10 with Square Terminal, and 2.9% + $0.30 for online payments.
For businesses wanting advanced features like team management, loyalty programs, or multi-location support, Square offers Plus subscriptions starting at $29 per month. Restaurant and retail-specific plans run $60 to $89 monthly. Square's flat-rate pricing makes budgeting straightforward.
Clover pricing structure
Clover's pricing is more complex because it depends on which merchant services provider sells you the system. Software plans typically range from $14.95 to $84.95 monthly for basic tiers, with full-service restaurant and retail plans climbing to $165 or more. Processing fees vary by provider but often fall between 2.3% + $0.10 and 2.6% + $0.10 for in-person transactions.
The challenge with Clover is that you usually need to request a quote to get exact pricing. Rates depend on your business type, processing volume, and negotiating leverage.
Hardware options: Card readers, terminals, and POS systems
Your hardware choice affects upfront costs, checkout speed, and how professional your setup looks to customers. Both platforms offer options ranging from basic card readers to full countertop systems, though they differ significantly in price points and feature sets.
Square hardware
Square designs its hardware to work seamlessly with its software. The Square Reader ($49) handles chip, magstripe, and contactless payments. Square Terminal ($299) is an all-in-one countertop device with a built-in receipt printer and screen. Square Stand ($149-$199) transforms an iPad into a point-of-sale terminal. Square Register ($799) offers a complete POS system with dual screens.
Square hardware supports all major payment types, including EMV chip cards, magstripe, NFC contactless, and digital wallets like Apple Pay.
Clover hardware
Clover hardware tends to be pricier upfront but offers more variety. Clover Go ($49) is a mobile card reader. Clover Flex ($499) is a handheld POS terminal with a built-in printer and barcode scanner, popular with food trucks and tableside service. Clover Mini ($749) is a compact countertop system. Clover Station Duo ($1,649) is a full-service POS designed for restaurants and high-volume retailers.
Clover hardware includes customer-facing screens on most devices, which can speed up checkout. The tradeoff is a significantly higher upfront investment compared to Square.
Features and functionality face-off
Beyond pricing and hardware, the software capabilities determine whether a POS system actually helps you run your business better. Both platforms cover the basics well, but they diverge when it comes to advanced inventory management, employee tools, and industry-specific features.
Payment processing capabilities
Both Square and Clover accept all major credit and debit cards, including Visa, Mastercard, American Express, and Discover. They support EMV chip cards, magstripe, and NFC contactless payments, including Apple Pay, Google Pay, and Samsung Pay. For in-person transactions, both platforms process payments quickly with real-time authorization.
Core POS functionality
Square's interface tends to feel more intuitive for new users, while Clover provides more customization options for complex menus and product catalogs. Real-time reporting comes standard on both platforms. Square consistently ranks higher in user-friendliness, with staff typically learning the basics within an hour. Clover's deeper customization options create a steeper learning curve.
Inventory management
Square includes basic inventory tracking with its free plan. You can add products, track stock levels, create variants, and receive low-stock alerts. The system syncs inventory across in-person and online channels.
Clover offers more advanced inventory functionality, including purchase order management, cost tracking, and margin reporting. For boutiques and retailers with complex inventory, Clover's tools go deeper. Both platforms integrate with QuickBooks and other accounting software.
Employee management
Square includes basic employee management features on its free plan, with time tracking, permission levels, and payroll integration available through paid add-ons. Clover offers employee management through its software plans and app marketplace, with time tracking, scheduling, and commission calculations available depending on your plan tier.
Customer engagement tools
Square offers a loyalty program add-on ($45/month) that lets customers earn points per purchase. Clover has multiple loyalty apps in its marketplace with varying functionality and pricing. Both platforms support digital and physical gift card programs. Square includes email marketing tools with its Marketing subscription ($15/month and up), while Clover relies more heavily on third-party apps for customer communication.
Industry-specific considerations
Different business types have different requirements. Understanding how each platform serves your specific industry helps narrow the decision.
Retail and boutique shops
Retailers need solid inventory management, barcode scanning, and multi-location support. Square handles basic retail needs well, but may feel limiting for shops with thousands of SKUs. Clover's deeper inventory tools and barcode scanner integrations make it stronger for complex retail operations. Both platforms offer online store integration, though Square's built-in ecommerce solution is more seamless than Clover's third-party partnerships.
Restaurants and quick-service
Square for Restaurants ($0-$60/month) includes table management, ordering, kitchen display system support, and menu customization. It works well for coffee shops, cafés, and quick-service restaurants. Clover Dining plans ($89.95-$164.90/month) offer robust table mapping, online ordering integration, and kitchen display systems. Full-service restaurants with complex operations often find Clover's restaurant features more comprehensive.
Service businesses and mobile sellers
Service providers, farmers' market vendors, and mobile businesses need portability above all. Square's lower-cost mobile options and no-contract structure make it popular with these users. For businesses that prioritize mobility and simplicity, JIM's Tap to Pay on iPhone eliminates hardware.
E-commerce and app integrations
Square offers a built-in online store builder with its free plan, letting you create a basic e-commerce site without third-party tools. Clover's ecommerce capabilities come through integrations with Shopify, BigCommerce, or WooCommerce, but the setup is more involved.
Square App Marketplace includes hundreds of integrations for accounting, scheduling, and marketing. Clover App Market offers deep customization possibilities with apps for everything from tableside ordering to advanced analytics. Many Clover apps charge monthly fees that add to your total cost.
Ease of use and contract terms
Square wins on simplicity. You can download the app, create an account, and process your first payment within minutes. The interface is clean and intuitive, making staff training straightforward. Clover requires more setup, especially if you're working through a third-party provider. You may need to complete a merchant account application and wait for underwriting approval.
Square operates without long-term contracts. You can cancel anytime without early termination fees. Clover contract terms vary wildly by provider. Some offer month-to-month arrangements while others lock you into multi-year agreements with substantial early termination fees.
Clover vs Square: Pros and cons
Square pros
- No monthly fees with the free plan
- Transparent, flat-rate pricing published online
- User-friendly interface with minimal training required
- Fast setup and same-day approval
- No long-term contracts or cancellation fees
- Strong built-in ecommerce integration
Square cons
- Limited advanced inventory features for complex retail
- Fewer hardware customization options than Clover
- Customer support can be slow for free-tier users
- Less suitable for full-service restaurant operations
Clover pros
- Robust hardware options with customer-facing displays
- Advanced inventory management with purchase orders
- Highly customizable through an extensive app marketplace
- Strong restaurant-specific features for fine dining
- Potentially lower per-transaction processing rates
Clover cons
- Required monthly software fees even for basic plans
- Higher upfront hardware costs
- Complex pricing that varies by provider
- Steeper learning curve for staff
- Often requires contracts with early termination fees
How to choose: Clover or Square?
Choose Square if you want to start accepting payments immediately without setup delays, prefer transparent pricing with no monthly fees, run a startup or small business with straightforward needs, value ease of use, need integrated ecommerce, or want flexibility to cancel without penalties.
Choose Clover if you process high transaction volumes where lower per-transaction rates offset monthly fees, need advanced inventory management with purchase orders, operate a full-service restaurant requiring robust table management, want extensive hardware customization with customer-facing displays, or already have a banking relationship with a Clover provider offering competitive terms.
Transaction volume matters significantly. At $5,000 monthly sales, Square's zero monthly fee usually wins. At $50,000 monthly sales, Clover's potentially lower processing rates could save money despite the software fee. Calculate your actual costs based on your average ticket size and transaction count.
Alternative to consider: JIM—modern mobile payment solution
Both Square and Clover represent traditional POS system approaches with significant investment in hardware, monthly fees, or both. JIM takes a different approach by turning your existing iPhone into a full payment terminal using Tap to Pay on iPhone technology. There's no card reader to buy, no monthly software fees, and no contracts.
The flat 1.99% processing rate means every $100 sale costs you $1.99, regardless of card type or payment method. Funds hit your JIM Visa® Prepaid Card instantly rather than waiting days for bank settlement. JIM works especially well for businesses that prioritize mobility and don't need advanced inventory management or multi-location reporting.
Making the right choice for your business
Choosing between Clover and Square comes down to understanding your real needs rather than getting distracted by feature lists you'll never use. Consider your actual transaction volume, the complexity of your operations, and whether you value simplicity or customization more.
Square removes friction for businesses that want to start quickly, avoid monthly fees, and keep pricing straightforward. Clover serves businesses with higher volumes or specialized needs that justify the additional investment in hardware and software subscriptions.
Neither platform is wrong, but one will fit your situation better. Calculate your total costs based on real numbers, not hypothetical scenarios. Test the software if possible. And remember that payment processing isn't permanent. The best choice today might differ from the best choice two years from now as your business evolves.
If traditional POS systems feel like overkill for your needs, explore simpler alternatives that deliver the essentials without unnecessary complexity. See how JIM's approach to mobile payment processing might fit your business at a fraction of the cost.
Disclaimer: Pricing comparisons are based on publicly available rates as shown on the Square and Clover websites, accessed on January 29, 2026. Competitor pricing is subject to change and may differ based on transaction type, volume, card brand, or industry. All trademarks belong to their respective owners and are used for identification purposes only—no affiliation or endorsement is implied. Sources: squareup.com/us/en/pricing and clover.com/pricing (accessed 01/29/2026).
