June 13, 2024

5 Best Franchise POS Software For Multi-Location Management

Did you know that smaller businesses work as franchises under bigger brands? Most franchise industry is commonly found in the fast food and retail sectors. According to a Franchising Economic Outlook report, the franchise business is expected to increase to $839.3 billion in 2024. It’s a 4.1% increase! The franchising concept thrives, so a franchise POS system is pivotal for businesses.

This innovative tool lets franchises control their sales and inventory. They can create an omnichannel customer experience with an internet connection from any location. Modern POS software for multi-location franchises will revolutionize franchise operations. It is a centralized hub for the main company and the multi-store franchises. Therefore retail companies record their sales in real time. 

This blog will teach you about franchising models. It will cover the best POS software for franchises and how to pick one for your franchise.

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What is a Franchise POS System?

A franchise POS system centralizes the operations. Sales data and inventory data are part of this centralized system. The purpose of this system is to streamline the sales process, improve inventory control, and track sales. It also provides a feature for automated reporting and analytics for franchisees. Businesses make more informed decisions by using a franchise POS. 

A POS franchise system is popular among retail and food establishments. It comprises hardware components (computers, monitors, cash drawers, and barcode scanners). The POS system integrates with the software to facilitate all transactions. As a cloud-based POS system, it secures data from multi-locations for efficient franchise operations. 

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8 Key Features of a Franchise POS System 

Good franchise POS software is reliable and efficient. It can make a big difference in managing multi-store locations. Here are must-have features that franchise business owners should look for: 

1. Multi-store Management

A multi-store management feature lets you oversee and manage franchise operations. They can be in different locations. The dashboard is at the center. It includes sales, inventory, and a customer database (across locations). It lets you track the business's performance and trends across stores. Owners can make real-time reports. They can also revise their pricing and promotions. This is for a better, more streamlined franchise operation.

2. Inventory Management 

The software is for multi-location franchises. It has tools to track inventory at all locations. It includes tracking sales, stock levels, reorder points, and managing suppliers. You can ensure the right products are stocked up to meet customer demands. The multi-location inventory feature lets you get alerts about items. It tells you when stock is low.

3. Sales Reporting

The sales reporting feature helps to analyze the sales data. Owners can track sales by product, store, location, and buyer trends to gain insights. Franchise owners can generate sales reports about the top-selling products. They can also identify the strengths and weaknesses to make informed decisions. 

4. Employee Management

The employee management feature manages the employees and their workloads more efficiently. In a franchise POS system, you can record how well employees do. You can also track their hours, make payroll reports, and manage their schedules. It helps to optimize the staff, reduce labor costs, and improve performance. 

5. Customer Management

To keep customers, this feature looks at their purchase patterns. It fits the device sales strategy to these patterns. Franchise business owners manage their customer’s profiles. They set up loyalty programs and analyze reviews and feedback easily.

6. Payment Facility 

It's a modern world, where digital transactions are common. The best POS franchise software supports mobile payments such as Samsung Pay and Apply Pay. Customers can make instant purchases with the convenience of mobile payments. 

7. Third-Party Integrations 

Franchise POS should integrate with third-party integrations with other business tools like CRM. The goal is to streamline the franchise operations and automate workflows. It also helps to improve the data accuracy and reduce manual data entry. 

8. User-Friendly Interface

Business owners prefer to use a tool with a user-friendly interface. The POS system should be easy to use to reduce the training costs. It will also help to speed up the transactions and reduce customer wait times. 

Features of a Franchise POS System 

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How Inventory Management Functions in a Franchise Setup

It is crucial for a franchise set up to meet customer demands. Franchise POS boosts inventory management in these steps: 

  • The POS software tracks stock levels at all locations for inventory management. The replenished products are tracked down. 
  • All franchises keep a list of their best to worst-selling products. They do this to keep the brand consistent and ensure quality.
  • An omnichannel POS for multi-location stores is configured with order automation. It helps prevent stockouts and overstocking. 
  • Owners streamline the ordering process, once integrated with the third-party apps. 
  • We make inventory decisions based on sales patterns, buyer trends, and seasonal changes. We rely on data for this.

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What Are The 4 Types Of Franchising Models

A franchise model is based on a partnership with other entrepreneurs to grow the business. Brand reaches new locations with a ready-made framework with a chance of success. There are four prominent franchising models according to business types across industries. 

1. Company Owned Company Operated (COCO)

In this model, the franchise store is operated by the brand. The funding is generated from the company. Employees hired by the brand manage the franchise as per their hierarchy level. 

The most common examples include BigBazar and Lenskart etc. 

2. Company Owned Franchise Operated (COFO)

It is a rare franchise model where a company is the business's main investor and operates the franchise. The brand provides the guidelines. The return on investments lies in between the FOCO and FOFO franchise models. 

The common example of the COFO business model includes call centers. 

3. Franchise Owned Company Operated (FOCO)

In this model, the initial setup cost is managed by the investor of the franchise. Operations and running costs are managed and overseen by the brand. The franchisee (investor) gets a set percentage of the revenue generated. Therefore the brand or company is responsible for operating the outlet. 

A common example is Bistro 57 and McDonald's. 

4. Franchise Owned Franchise Operated (FOFO)

The company grants the franchise investor access to its brand name. They agree to do so in return for a predetermined time frame and a non-refundable franchise charge. Prices and merchandise at the store are set by the brands. As a result, the franchise investor owns the business outright and is responsible for covering all running expenses. In addition, the Franchise must pay a royalty—a portion of its earnings—to the Brand. In the market, this model is the most popular. 

Types Of Franchising Models

A common example is The Meetout Kitchen. 

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Criteria For Selecting The Best Franchise POS Software

Centralized Management Capabilities

The key to data integrity is the ability to manage and share POS changes from a central place. The franchise-level point-of-sale system must interface quickly with central Web apps. It is vital for fast updates on products, tax tables, discounts, promotions, and prices.

Real-Time Inventory Tracking

To avoid stockouts and overstock situations, real-time inventory tracking is important. A POS system gives instant updates on all inventory levels parallel to sales and on the arrival of new stock. It minimizes the optimal stock levels so that the product does not go to waste. You can set automated inventory alerts for low stock levels. 

Scalability And Customization Options

The franchise POS for multi-store must be scalable for the growth of the entire network. It should support the multi-stores without compromising the functionality. So once the franchise expands, it can be easily integrated with new store locations, users, and products. 

A modern POS system is also able to customize the user interface, reports, and other features according to the needs of each location. 

Multi-Location Reporting And Analytics

A multi-store reporting is an essential feature of a POS system. It gives a holistic view of the franchise network and compiles individual reports for each location. The system has an advanced analytics tool. It uses it to identify trends, forecast demand, and optimize inventory. 

Ease Of Use And User-Friendly Interface

A franchise POS should be user-friendly to reduce employee training time. The intuitive design should comply with everyday tasks like processing transactions. It should be easy to use across various devices such as tablets and smartphones for more flexibility. 

Customer Support And Reliability

To resolve any quick issues, a 24/7 support system should be available. The point-of-sale system should include phone, email, and live chat support to help users. Also, the best POS franchise has cloud backup and data recovery options. 

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5 Best POS Software for Multi-Location Franchises 

1. XStak POS   

XStak POS for franchise

XStak POS is part of an omnichannel retail operating system. Retailers serving both offline and online are empowered by its design. Suitable for all enterprise retailers, this point-of-sale software covers major industry verticals. 

Franchise owners can get faster deliveries. This is thanks to the multi-store feature. It lets them quickly fill orders and cut delivery time. You can use XStak Point of Sale online and offline, eliminating the need to wait. It allows automated sync once the network is connected. 

XStak POS primary features include: 

  • Cloud-based POS system 
  • Integrations with eCommerce platforms such as WooCommerce, Shopify, and Magento, accounting software, and ERP/financials such as D365 
  • Transaction-based pricing model 
  • Manage centralized and real-time inventory 
  • Multi-store location on the dashboard 
  • Inventory transfer in/transfer out functionality 
  • Manages team hierarchy 
  • Manages ordered stock from suppliers 
  • Mobile optimized for online and in-store purchases
  • Inbuilt audit modules etc. 

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2. Lightspeed Retail

Lightspeed Retail franchise

Founded in 2013, Lightspeed Retails is a cloud-based POS software. It is easily usable on iPad and desktop setups. The cloud-based POS software is suitable for everyday tasks. Owners can focus on business growth. It is a modern-day system that manages multi-store franchises across the globe. You can keep tabs on the sales, manage employees, and customize the shopping experience. 

It is widely acclaimed for feature-rich functionalities such as: 

  • Inventory overview across multi-store 
  • Store specific pricing 
  • Software customization 
  • Analytics reporting 
  • Integration with eCommerce 
  • Sales and service support 

3. Vend

Vend franchise

Founded in New Zealand, Vend POS software is a budget-friendly option for retail. It is compatible with multiple hardware and has a simple interface. It is commonly used by multi-store retail businesses. 

Vend POS system features include: 

  • Store expansion 
  • eCommerce integrates with Shopify 
  • Multi-location inventory and customer management 
  • Multi-price book capabilities 
  • Real-time sales data visibility across all stores 

4. Odoo

Odoo franchise

Odoo provides several specialized business administration apps. It offers a scheduling app. It also has a car maintenance app, rental app, calendar app, and planning tools. These features are valued by service and rental organizations.

Location managers accept rental requests, approve rentals, and assign resources for cleaning rooms. They order necessary inventory or repairs. And send invoices that may include late fees or cleaning charges by using the Odoo rental app. Odoo uses Stipe for online transaction processes. However, it is also integrated with Chase,, and PayPal. 

Odoo POS doesn’t have franchise-specific features, but it offers:

  • Invoice clients for services 
  • Scheduling app for franchises or customer representatives 
  • Fleet app to register vehicles 
  • Timesheet app for employees etc. 

5. Magestore

magestore franchise

Founded in 2009, it is designed for Magento retailers. It is a compelling solution for franchise inventory and stock management. The POS system familiarizes with customer engagement. It forms better interactions for personalized experiences. The user-friendly interface is suitable for modern-day employees and customers. Magestore is a centralized hub to synchronize all customer profiles in real-time data. 

Some of the POS essential features include: 

  • Automate inventory management 
  • Customizable franchise management POS 
  • Omnichannel processes for customer experience 
  • Customer loyalty programs etc. 

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Comparison Of Best Franchise POS Software

POS Software Free Trial Pricing Industry Best for
XStak Demo Usage-Based Pricing Retail Enterprise Retailers
Lightspeed Retail Yes $89/month Retail Retailers, Restaurateurs
Vend Yes $69/month Retail Retail, Food Services
Odoo Yes $0/month Retail Service and Retail Franchise
Magestore No Pay Only One Time Magento eCommerce Multi-store, Omnichannel Retailers

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How Does Xstak Simplify Franchise Operations with Centralized Management?

Automate Inventory for Accurate Stock Control

The inventory processes ensure accurate stock control across multiple. The automated reordering triggers an alert to prevent stockouts. Inventory updates about stock levels are helpful for efficient inventory management. 

Easily Scale Your Franchise Business 

As the franchise network grows, the need to add new locations is inevitable. Therefore add product details and user information without compromising the system’s performance. The centralized dashboard simplest franchise operations as the business grows. XStak POS supports business expansion without any operational disruptions despite the location. 

Empower Franchisees With Roles and Permissions

Franchisors can set specific roles and permissions to access the data for franchisees. This ensures the right person has access to the information. Sensitive information is protected enabling easy day-to-day operations without any unauthorized access. 

Create An Omnichannel Customer Experience

A seamless omnichannel customer experience is the best solution for any franchise. XStak POS integrates the online, in-store, and mobile shopping experience. It also enables personalized marketing and customer service for all channels. Franchise owners can better understand customer behavior and their preferences.

Keep Your Customers Happier Than Ever!

XStak Simplifies Franchise Operations

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Access Real-Time Multi-Location Reports

The multi-location capabilities allow a consolidated view of the franchise network. XStak POS provides a detailed view of sales, inventory, and customer behavior. The real-time multi-location reports enable timely interventions and better strategic planning. 

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The best point-of-sale software makes all the difference in the competitive franchise industry.  POS software helps franchise owners manage complexity and grow their businesses effectively. Owners optimize operations, improve customer experiences, and enable well-informed decision-making. Franchises technology to achieve long-term growth and success. Choosing the right point-of-sale (POS) system and knowing its benefits and drawbacks. XStak can help you achieve your expansion goals. 

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