Lightspeed vs Square
Square: start free, pay for what you need. Lightspeed: pay upfront, get retail-focused depth. For simple retail, Square wins. For inventory-complex businesses (multiple variants, purchase orders, vendor management), Lightspeed pays for itself in efficiency.
Our Verdict
Square for simple retail under $500k annual revenue. Lightspeed for specialty retail with complex inventory, established retailers scaling up, or anyone who's outgrown Square's inventory management.
Best for:
Feature Comparison
| Feature | Lightspeed | Square | Winner |
|---|---|---|---|
| Starting price | $89/mo | $0 | Square |
| Inventory depth | Excellent | Good | Lightspeed |
| Purchase orders | Built-in | Plus plan required | Lightspeed |
| Vendor management | Excellent | Basic | Lightspeed |
| Ease of use | Moderate | Very easy | Square |
| E-commerce | Good (add-on) | Good (free) | Tie |
| Processing rates | 2.6% + 10¢ | 2.6% + 10¢ | Tie |
| Multi-location | Excellent | Good | Lightspeed |
Lightspeed
Pros
- ✓Deep inventory management
- ✓Built-in purchase orders
- ✓Excellent vendor tools
- ✓Strong multi-location
Cons
- ✗Monthly cost from day one
- ✗Steeper learning curve
- ✗E-commerce is add-on
Square
Pros
- ✓Free to start
- ✓Dead simple
- ✓E-commerce included
- ✓Great for basics
Cons
- ✗Inventory less sophisticated
- ✗Purchase orders need paid plan
- ✗Multi-location basic
In-Depth Analysis
The Inventory Depth Gap
Square handles products with variants fine. Lightspeed handles product matrices (size x color x style), serialized inventory, assemblies, and complex purchasing. If you're manually tracking anything Square can't do, calculate how many hours you spend. At $30/hour, 3 hours monthly = $90. Lightspeed pays for itself.
Specialty Retail Reality
Bike shops, outdoor stores, golf retailers—these are Lightspeed's bread and butter. Serial number tracking for warranties, manufacturer integrations, industry-specific reports. Square can run these stores, but you'll feel the friction.
Growth Path
Many retailers start with Square and migrate to Lightspeed around $300-500k annual revenue. At that point, inventory complexity and purchasing efficiency matter more than monthly fees. Start with Square, evaluate Lightspeed when Square feels limiting.
Frequently Asked Questions
Is the migration from Square to Lightspeed hard?
Moderate. Product data can be exported/imported. Purchase history doesn't transfer well. Customer data migrates but needs cleanup. Budget a weekend for setup and a week of parallel operation.
Can Lightspeed be as simple as Square?
You can use it simply, but you're paying for features you won't use. If you want Square-level simplicity, just use Square. Lightspeed is for when you need more.