Setting up a point-of-sale system shouldn't feel like an IT project. Square POS is popular with restaurants precisely because most of it can be configured from a web dashboard before you ever ring up a sale. Whether you're opening a new restaurant or switching from a legacy terminal, here's how to get Square POS ready for service — from account creation to your first test transaction.
Before you start: what you'll need
You don't need all your hardware on day one, but have these ready:
- A Square account (free to create at squareup.com)
- Your business details: legal name, address, bank account for transfers
- A reliable Wi-Fi connection at your restaurant
- Your Square hardware (Square Terminal, Square Register, card readers, receipt printer, cash drawer)
Step 1: Create your Square account and set up your business
Sign up for a free Square account and complete your business profile. Add your restaurant as a location in the Square Dashboard — this is how Square keeps track of sales, taxes, and staff across multiple sites if you expand later. Link your bank account so your sales transfer automatically.
Step 2: Build your item library (your menu)
Go to Items in the Square Dashboard and add every menu item: name, price, category (appetizers, mains, drinks), and photos if you want them visible on customer-facing displays. Add modifiers for the options your staff actually use — extra cheese, dressing on the side, cooking temperature. A well-organized item library is what makes checkout fast during a rush, so take this step seriously.
Step 3: Set up taxes, discounts, and tips
Under Settings, configure your taxes (Square supports Canadian GST/HST/PST/VAT rates by location), add any standing discounts (senior, student, staff meals), and set your tipping preferences. For restaurants, decide whether you want suggested tip percentages, custom tip amounts, or automatic gratuity on large parties.
Step 4: Add team members and permissions
In Team settings, create a profile for each employee and assign permission sets — cashiers get checkout access, managers get refunds and reports, owners get everything. Staff sign in with personal passcodes, so every sale and refund is traceable. This takes ten minutes and prevents most internal payment headaches.
Step 5: Connect your hardware
Power on your Square hardware and connect it to Wi-Fi. Square Terminal has the POS software built in — on first launch, update the software when prompted (it takes about 20 minutes, during which card payments are unavailable), then sign in to your Square account. If you're using a phone or tablet with a card reader, download the Square Point of Sale app and pair your reader via Bluetooth. Connect your receipt printer and cash drawer following Square's compatibility list.
Step 6: Create a device code and configure service settings
For Square for Restaurants, devices sign in with a device code rather than an email and password. In the Square Dashboard, go to Settings > Device management > Devices, click Add device, choose Square for Restaurants, pick Handheld (for Square Terminal) or Countertop, assign it to your location, and name the device code. Each device needs its own unique code.
Then adjust your service settings: closing procedures (e.g., requiring tips to be settled before a close-of-day), menu behaviour, automatic gratuity for large tables, and Straight Fire Categories — sending drink orders straight to the bar and appetizers to the kitchen. These settings define how your restaurant actually runs during service.
Step 7: Run test transactions
Before your first real service, ring up a few test sales: a normal card payment, a cash payment with change, a refund, and a split bill. Check that receipts print correctly and that kitchen/bar tickets fire to the right stations. Then enable Offline Mode in settings so you can keep taking card payments during a Wi-Fi outage (payments are processed when you're back online).
Common setup mistakes to avoid
- Skipping the item library import. Typing items in manually on opening day is a recipe for long lines. Build the menu first.
- One shared staff login. Without individual passcodes, you can't track voids, discounts, or cash drawer activity.
- Ignoring offline mode. Wi-Fi fails at the worst possible moment. Enable offline payments before you need them.
- Not testing refunds. Learn the refund flow on a test sale, not during a customer dispute.
Need a hand?
Square POS setup is straightforward, but getting taxes, hardware, and service settings right the first time saves you from fixing mistakes during a dinner rush. At Sevenflow, we help Edmonton, Calgary, and GTA restaurants get Square POS installed, configured, and staff-trained — and we rent Square hardware so you can get started without a big upfront purchase. Consultations are always free. Explore Square POS solutions or contact Sevenflow to get started.