Best EFTPOS Machines for Small Businesses

With Australia's inflation rate starting to ease in March 2023, it's a prime time for your venture to get off the ground or start expanding. And if you run (or plan on running) a physical business, a card machine is paramount to assist you on that goal.

Card usage in Australia rose 17% in 2022 and is expected to grow by further 9% in 2023, so you'll need to be able to serve this expanding clientele.

If you're unsure which card machine to choose, we get it. They look quite alike and perform similar functions, but fear not: we've done a solid deep-dive research for your small business and ranked them in the list below.

A quicker way to compare is to use our cost comparison tool for bespoke quotes – but if you'd like to know more before that, just read on to find out about our top picks.

1. Smartpay Portable: best portable card machine

Key Benefits:

• Connects to your iPhone or iPad for a complete point of sale (POS) solution
• Highly user-friendly interface with colour touchscreen
• Advanced security features to protect cardholder data
• 24/7 technical support available
• Ideal for the retail and hospitality industries

2. PayPal Here: best mobile card machine

Key Benefits:

• Integrates with your PayPal account
• Gives access to funds from a transaction just seconds after approval
• Compatible with both Apple Pay and Android Pay
• No fixed monthly costs
• No fixed term contract
• PCI compliant

3. Square: most affordable card machine

Key Benefits:

• No ongoing fees
• 24/7 customer support
• Quick, hassle-free setup
• Works with Square's own range of savvy POS equipment
• Completely PCI compliant

4. Smartpay Countertop: best countertop card machine

Key Benefits:

• Quick, hassle-free setup
• 24/7 customer support
• 30% off when you choose to buy your card machine outright
• Durable, stylish design adds class to your shop
• Integrates with multiple POS systems

What is a card machine and how does it work?

What do I need to start taking card payments?

You can’t just grab a device and start taking payments – there’s more to it than that! To start accepting card payments for your small business you’ll need an EPOS system, and a merchant account, too. And to take payments online and over the phone, you’ll also need a payment gateway and a virtual terminal.

To accept card payments for your small business you’ll need a combination of the following:

1. POS System

First up, if you serve customers face-to-face, you'll need a Point of Sale (POS) system to pair with the credit card reader. This is essentially the till: a cash drawer, user interface, receipt printer, and barcode scanner.

POS systems also come with handy features for stock and staff management, which makes them particularly important for hospitality businesses. Explore our guide to the best POS systems for Aussie restaurants to find out more.

2. Merchant Account

Next, you’ll need a merchant account with a merchant bank. A merchant account is a type of credit account that allows your business to accept credit and debit card payments. It’s where the money sits while the bank checks that the customer has the sufficient funds to make payment. It also serves as protection against fraud.

Card machines are most commonly leased as part of a merchant account agreement. A merchant account can be setup with a dedicated merchant bank, or by special arrangement with a PSP (payment service provider) or other independent merchant services supplier, such as Smartpay.

Our guide to the best merchant account rates in Australia is essential reading for those looking to start accepting credit card payments.

3. Payment Gateway

To take card payments online (or, for that matter, in person, too) you’ll need a payment gateway.

Integrated with the shopping card your website, a payment gateway is a secure piece of software that encrypts the customer’s card details and transmits them to the merchant bank.
Take a closer look at how payment gateways authenticate transactions in the diagram below.

4. Virtual Terminal

And businesses that need to accept credit card payments over the phone or by email will require a virtual terminal.

Like a payment gateway, a virtual terminal secures sensitive payment details while the bank authorises the transaction. Unlike a payment gateway, card details are entered into the system by the merchant, rather than the customer. This type of transaction is also known as a MOTO transaction (Mail Order / Telephone Order).

Along with payment gateways, pay-by-link, and online invoicing, virtual terminals are a popular online payment method for small businesses.

5. Card Machine

Once you’ve got all that sorted, then you can go about choosing a credit card machine for your business.

The best card machine (or EFTPOS machine – same thing) for your small business will vary depending on your specific requirements as a merchant. What works for a static brick-and-mortar business such as a coffee shop, probably won’t suit a food vendor who trades in a different location each week.

Card machine costs can vary, so let’s take a look at the different types available.

The different types of credit card machine

Mobile card machines

Mobile credit card machines allow you to accept card payments anywhere with mobile network coverage. They offer users ultimate flexibility, and have opened the door to a whole host of remote businesses for which a card machine was previously out of the question.

Remember when you used to have to ask the taxi driver to stop at an ATM before dropping you off? Those days are over – and it's thanks to mobile card machines.

Most work via a pre-installed SIM card that connects your machine to a mobile network. Recently, though, more modern mobile card readers (such as iZettle and SumUp) have done away with the need for a SIM and instead connect to your phone via an app. You can read more about this type of card machine below.

The benefits of a mobile card reader are:

✔ Portability — great for merchants such as food vendors and market traders

✔ Minimum hardware required — with some models, all you need is the card reader and a smartphone or tablet to connect it to

✔ No long-term contract — most mobile card machine providers offer short-term contracts tailored specifically for small Australian businesses

Perfect for Australian businesses such as: food truck vendors, cab drivers, pop-up shops.

Wireless/portable card machines

A portable card machine allows merchants the flexibility to move around and take payments without relying on mobile network coverage. They’re the perfect choice for a restaurant or bar setting where the point-of-sale is often at the customer’s table.

Wireless terminals usually connect via wifi, but if you don’t have an internet connection they can be hooked up to a traditional landline too. Most will operate for around eight hours before needing to be recharged and work at a range of up to 200 ft.

Benefits of a portable card machine include:

✔ Improve customer service — bring the card terminal to your customer. Ideal for hospitality businesses

✔ Flexible with a stable connection — not reliant on mobile network coverage for connection

✔ Choice of wifi or Bluetooth connectivity — connect to the network via the internet or a traditional phoneline

Perfect for Australian small businesses such as: cafes, restaurants, bars.

Countertop card machines

Many small businesses choose to rely on countertop card machines to process payments. With a hardwired connection, they’re sturdy, reliable, and often the cheapest option in terms of upfront cost.

So for businesses like coffee shops, where the customer pays at the counter, a countertop card machine is often the best option.

The advantages of countertop card machines include:

✔ Reliable connection — you’re not reliant on wifi or mobile network coverage

✔ No charging — there’s no risk of the dreaded low battery warning

✔ Save on upfront costs — countertop card terminals are generally cheaper than portable and mobile card machines

Perfect for Australian small businesses such as: coffee shops, newsagents, beauty spars.

The pros and cons of card machines for small businesses

Advantages of accepting credit cards

✔ Credibility — the fact is, if your business doesn’t accept debit and credit card payments… well, you look amateur!

✔ Better end-to-end customer experience — a quick tap or swipe of a credit card is much more convenient for a customer than laboriously counting out cash. Streamline their shopping experience with a card reader. Remember: a satisfied customer is a loyal customer.

✔ Better cash flow — providers that specialise in making the best card machines for small businesses prioritise a speedy transfer of funds as part of their service. Cashflow can be a major problem, so having having quick access to the money from card payments is a major benefit.

✔ Security — handling large amounts of cash poses an obvious security risk to your business. Reduce this risk by accepting payments electronically. Plus, the EMV computer chip in modern cards makes them extremely difficult to clone, further reducing the chance of fraud.

Disadvantages of accepting credit cards

✗ Cost and transaction fees — you will be required to pay a transaction fee for every card payment processed. Fees vary depending on the volume of transactions; the more transactions you process, the lower your rates will be.

This poses an obvious problem to small businesses who tend to process a low-volume of card payments. Don’t worry, though – the providers reviewed on this page specialise in card machines for small-scale business operations, with fees to match.

✗ Chargebacks — dealing with chargebacks can be a long and arduous process for business owners. Customers have the right to challenge any card payments they see on their statement, which can sometimes mean business owners have to refund the transaction plus a chargeback fee.

✗ Fraud — fraudulent transactions may be few and far between, but when they do occur it is usually the merchant who loses out.

How do I get a card machine for my small business?

Well, there are a couple of ways. One is you could spend endless hours online, losing yourself in a sea of tabs, while trawling through site after site that thinks they have the answer to your business (but are truly just trying to make money off you).

The other way? Letting us help, and receiving tailored card machine quotes for your small business in the process. Here's how it works.

Simply provide us with a few details about your small business' card machine requirements. We'll ask whether you're currently accepting card payments (and if so, who your current provider is – we'll get you a better deal), as well as about your industry and monthly turnover. We'll also need your postcode (this is nothing sinister, either – it just allows us to match you with suppliers that cater to your area of Australia).

When that's done, all you need to do is sit tight, and have your phone handy – the card machine providers we match you with will be in touch directly to discuss next steps. Remember, there's absolutely no obligation to accept any of these quotes. The ball is firmly in your court.

So why not give it a go? It only takes 30 seconds after all, and you have nothing to lose.

Hit one of the buttons below to get started.