Square POS is becoming the go-to choice for consignment and resale shops due: Square offers a free basic POS system with low fees, simple setup, easy-to-use interface. While Square does not offer native consignment and payout tracking, it integrates with Circle-Hand. Square will handle your Point-of-Sale, while Circle-Hand tracks incoming inventory, sellers, and payouts.

1. Why resale and consignment shops choose Square POS?

Square’s interface is clean and simple, making it easy for even the least tech-savvy staff to get up and running. For shop owners starting out, Square’s free POS app with optional hardware is especially attractive because it lets you scale without heavy investment. Square usually also works well with existing hardware.

Square has reliable barcode scanning with just your smartphone / tablet camera or a barcode scanner. You can quickly scan items at checkout and track large inventory with high performance, even across multiple locations. For stores handling hundreds or thousands of unique, secondhand items, that kind of efficiency matters.

It gives you daily sales summaries and category performance reports which is game-changer, especially when you make decisions about which products or sellers are most profitable. The transparency helps you stay on top of your operations without needing a separate bookkeeping system, which is ideal for small teams. It also integrates with Quickbooks directly and many other apps.

2. Limitations of Square POS for consignment and resale inventory management

While Square doesn’t natively support consignor tracking, buy outright or profit splits out of the box. Many stores still choose it because it fully integrates with Circle-Hand that allows you to track payouts, set consignment rates, and automate monthly statements, all while using Square for payments.

This modular approach gives your the best of both worlds: the polished user experience and ecosystem of Square, paired with the specialized consignment and resale software. It’s this flexibility—alongside its modern interface and trusted reputation—that keeps Square at the top of the list for many growing consignment and resale businesses.

3. Getting Started with Square consignment integration

To use Square effectively as your consignment POS, follow these steps:

1. Register at Square (free, no monthly costs).

2. Download the Square POS app on your smartphone or tablet (iOS / Android).

3. Connect Square and Circle-Hand via settings > Square > Connect

4. Get the Square card reader or just use Tap-to-Pay with your phone.

4. Recommended hardware for Square POS as resale store solution

• Smartphone or Tablet: To operate the Square POS app.

• Square Card Reader ($49): To accept card payments or use tap-to-pay.

• Label Printer: Amazon Phomemo ($70), Zebra, Dymo or Brother also works.

• Barcode Scanner (optional): Or use your smartphone / iPad camera.

• Receipt Printer (optional): Physical receipts are optional, digital receipts via SMS / E-Mail is also common.

Here is a detailed overview of the hardware you need including links and prices.

5. Considerations when using Square for consignment and resale

• Handling large inventory and unique items: Square requires integration with specialized software to efficiently track unique pre-loved items.

• Seller and consignor management: Native consignor payout management and buy outright isn't available in Square, but can be handled via Circle-Hand.

• VAT Margin Scheme: European resale businesses using the VAT margin scheme must manage this externally, as Square does not natively support this tax method.

6. Conclusion

Square’s straightforward integration with Circle-Hand provides consignment and resale businesses with an fully integrated, efficient, user-friendly POS solution. Its affordability, transparent pricing, and compatibility with robust inventory management tools position Square as an ideal choice for consignment and resale shops aiming for growth and operational simplicity.

7. FAQ - Using Square for consignment and resale stores

How do I use Square for consignment inventory management?

To use Square for consignment, integrate it with Circle-Hand. While Square processes payments, Circle-Hand automates vendor tracking, commission splits and payouts through an easy-to-use interface for both owners and vendors.

You can use your existing iPad, smartphone, Square Register or Terminal. Once connected, all items, sales, returns, discounts and more, syncs in real time, turning any Square-compatible device into a full-scale consignment system with automated vendor payouts.

Can you connect consignors to Square payment? Do you need additional hardware?

Yes, Square POS works for consignment when paired with Circle-Hand. You don't need additional hardware or a paid Square subscription; the Square Free plan ($0/mo) is sufficient.

To connect Circle-Hand with Square: Go to Settings > Square > click Connect. Once linked, every item you create syncs to Square instantly. All sales, returns and discounts sync back to Circle-Hand in real time to update vendor balances and portals automatically.

What is the best consignment software that works with Square?

The best integration depends on your workflows: If you require an official Square partner with real-time inventory sync, Circle-Hand is the most modern solution, rated with 5/5 on Capterra. It extends Square’s payment engine to include automated vendor tracking, commission splits and payouts.

The interface is built for speed: you and your team can manage the floor while optional custom workflows allow vendors to create items that sync to Square instantly. It handles discounts and returns automatically, ensuring vendor statements and the vendor portal always reflect live sales data.

How do I automate consignor commission splits on Square?

Square treats every sale as 100% store revenue. Square does not natively split revenue. To automate this, connect Circle-Hand to your Square account. Circle-Hand sits behind your Square POS; when a $100 item sells, Circle-Hand instantly detects the SKU, references the specific consignor’s contract (e.g., 60/40 split), and allocates $60 to the consignor’s virtual balance while keeping $40 as store revenue. This eliminates the need for end-of-month manual spreadsheet calculations.

How do I handle "Buy Outright" vs. "Consignment" vs "wholesale" in one Square system?

Mixing inventory types makes bookkeeping a nightmare. In Circle-Hand, you can categorize items as either "Consignment" (pay after sale) or "Buy Outright" (paid upfront). When synced to Square, both appear as standard inventory. However, Circle-Hand’s reporting separates these for you, ensuring your "Payouts Due" report only reflects items sold under the consignment model, while tracking the Cost of Goods Sold (COGS) for your buyout items.

Can vendors add their own items to my Square inventory?

Giving vendors access to your Square Dashboard is a security risk. You should not give vendors direct access to Square. Instead, use a specialized vendor portal like Circle-Hand. Vendors can log in to their own secure dashboard to upload items themselves. Once you "Approve" an item in Circle-Hand, it is automatically pushed to your Square POS library with the correct pricing and tags. This keeps your Square account secure while crowdsourcing your inventory data entry.

How do I print price tags for Square that include the Consignor ID?

Square’s standard labels don't typically show who the item belongs to. For efficient floor management, price tags need a "Consignor ID" or "Vendor Code." Use Circle-Hand to generate your labels; it pulls the unique SKU and Consignor ID into a printable format (Dymo/Zebra compatible). When you scan that barcode at the Square checkout, the system identifies the item, and Circle-Hand handles the back-end attribution to the correct owner.