How do I Track Sales of Multiple Vendors at an Event?

[MarkTarone]

I produce events with multiple vendors at each event. I would like to charge each vendor a % of sales *and* track the sales of each vendor using Square. 

Here's an example. 

Vendor #1 (Italian Food Merchant) - $2,000 of total sales

Vendor #2 (Mediterranean Food Merchant) - $1,500 of total sales

Vendor #3 (Ice Cream Merchant) - $1,000 of total sales

I would prefer that the revenue goes directly to each merchant. I would be Ok with all revenue going to me with my paying out each vendor after the event. 

I want each merchant to be able to setup and use their own Square account. In other words, the Italian Food Merchant sets up 8 items in its Square account, sets its own pricing and charges people per order. The Mediterranean Food Merchant sets up 11 items in its Square account, sets its own pricing and charges people per order. Same with the Ice Cream Merchant. 

I want it to be impossible for one merchant to see the sales of a different merchant. 

What is the best way to accomplish my goal of tracking all sales and giving each vendor autonomy to manage their own, unique Square POS. 

Thanks for your help! -Mark

The title of this post has been edited from the original: "Track Sales of Multiple Vendors at an Event"

[HC_Charlie]

THanks for your post @MarkTarone . So if I'm understanding correctly, each merchant will use their OWN Square account, and take care of all of their own sales? So really if that is the case, you really don't need to collect any payments, other than your "cut" of their sales. So I'm thinking you just want a way to be able to see their individual sales, and make sure you're not getting less of what they said they sold for your event?

You can either request them to give you a report of that day's/event's sales (if you trust them). If you want to be able to see for yourself, you'd have to (maybe) have them add you as an employee with only specific access to the sales report. That is a lot to ask of a vendor, especially if they currently don't use Team Management for employees.

Are these vendors already in business and using Square for their own credit card processing and sales management? If so, I don't think they want to "use" your Square account. If they don't sell food or vend everyday themselves, and they are only doing it for just your one day event, maybe you could setup a singular Square account under your name. But in order for them NOT to see each other's sales, you'd have to have Team permissions setup on your own account. And then I'm not sure if it would work having multiple vendors charging and access your one Square account at the same time.

The easiest way I can think of it to trust your vendors and ask for a sales report. Maybe another Square Seller has some specific experience with a larger event such as yours. I'd be curious to hear other solutions to this. Good luck to you, I hope your event goes well!

[MarkTarone]

Thanks for your response HC_Charlie. Question from me below along with some comments. 

Your analysis of my needs is accurate. I need sales reports that I can trust from multiple vendors. I've always used the 'honor code' to do so, but I would greatly prefer to track things more accurately / reliably. 

I took a quick look at Team Management: https://squareup.com/us/en/point-of-sale/team-management

This appears to be software, not a feature set that automatically activates in your Square account after subscribing.

In other words, in order to receive the Square account user features offered by Team Management, software must be installed and setup by each vendor. They do not simply subscribe and then automatically see new features on their Square POS devices and web account. Is this correct?

If so, then Team Management is not a viable option for me. 

Obviously, I can continue to use the honor code. 

I'm looking for a better solution from Square or other service provider. 

I know there is a large need and high demand for such a solution nationally and internationally. A digital solution that provides transparent access to vendor sales will increase event revenue while treating all vendors fairly. Putting such a service in the hands of event producers would be a major step forward for the events industry.

Square could provide a useable solution for this need by simply creating a type of account user that has access to sales reports and nothing or little else. Square already has the coding in-hand to offer this feature. Square already offers different levels of user access. Square simply needs to use this same coding to create a new type of user. 

[MarkTarone]

Follow-up comment. 

I recognize that one approach that goes beyond the "honor code" is to require each vendor to show someone from my company a Square sales report onsite before leaving the event. In other words, generate a report onsite and show the report to a representative of my company. A company rep could take a photo of the vendor's Square sales report and thereby have an accurate record of the vendor's Square sales. 

The above approach is much better than relying on a verbal statement from each vendor. The downside of this approach is that it requires a relatively elaborate check-out with each vendor. While this is simple in concept, it's not easy in reality as there are so many moving parts that need to be managed during a live event. 

It would be *much* better to have a digital record of vendor sales that can be retrieved online following an event. 

[HC_Charlie]

I agree @MarkTarone there isn't an ideal solution yet, you are correct the Team Management is something each vendor would have to have active on their accounts, and many may not. This is an extra add-on that requiring would not be feasible if a vendor does not need or want this feature.

The checkout at the end of the event seems like the best solution, in that viewing the sales would not give anyone enough time to "fudge" a report. But it would not be the easiest or quickest method of checking out if you require this step to happen.

Have you considered charging a flat-fee versus a percentage? Or if this is a large venue with multiple locations, charge the fee based on location (prime locations require a larger event fee)?

[MarkTarone]

I charge either a flat-fee or % of gross sales depending on the nature of the event and products being sold. 

It would be better for both the producer (me) *and* vendors if all fees were a % of sales. 

The flat-fee model often over charges or under charges vendors. 

Charging a % of sales is fair to all and creates opportunities to create more vendor-centric events. For a vendor-centric event (e.g. like a food festival), there is far more potential revenue paid to the producer if all vendors pay an accurate % of sales. 

This feature is not just a nice-to-have. It can be a game changer in many instances - the difference between a producer deciding to move forward and book an event (if the producer can collect an accurate % of sales) versus walking away choosing to not produce the event because of inadequate potential revenue.

[Candlestore]

@MarkTarone ;

I read Both your comments and @HC_Charlie 's original reply.

To answer your assessment of Teams, Your vendors would not be subscribing to teams but you would need to have Teams installed and an pin code for each Vendor to use.  The other alternative would be Device codes, where Your vendors is assigned a code to sign into your account for their device. 

Say for example:

Vendor #1 (Italian Food Merchant) - Device code 1234

Vendor #2 (Mediterranean Food Merchant) -  Device code 2345

Vendor #3 (Ice Cream Merchant) -  Device code 3456

Now the Square Device codes are more complicated than this.

So then the Vendor uses the Assigned device code.  You Mark as the Account owner can see and Email their sales by their device code.  If a Seller wants multiple Devices to use you can keep track of these in a spread sheet that say Italian Food Merchant is using device 1234 AND device 9876.   You can then at the end of the Day, weekend, week, month or whatever time you select do a report by Device code(s) and export this and then save it as a csv file to email to your vendor.  This would only be visible to you, but you can easily pull this report up on a cell or tablet or a computer.  

My biggest issue I cannot figure out is your request that each Vendor can see their Sales only.  I think this can be set in device codes but I am not positive since I only use 2 main devices and my Cell to look at reports.  My 2 main devices, are one for Credit Card sales (only used when we busy) and a Cash and CC point of sale machine. But I know with settings I believe for Permissions and for Device codes they can see all categories and Item sold.  I do not know if there would be a way to keep another device from seeing other devices sales if someone tried to look.

The reason why I say this about Items and categories is because I was thinking you could have categories by Vendor name and then all their items under that category.  

The only other option would be Locations with Device codes.  Have each Vendor as a 'Location' and this may get you what your after as you can assign items to be sold by Location.  

So then you might be able to assign the ability of Devices to only show reports by location under location management?

The other thing you need to realize is Square charges a fee based on what is processed by a Credit card, and cash is not counted towards this.  So you would want to word your contract with that in mind that it is of Net sales.

I have been thinking of ways for this to work for you but I agree there is not one way to do this with Square.  Also who is buying the Equipment for processing the Credit cards and ringing up each vendors sales?  You as account holder only get 1 free magnetic reader.... which is about useless today.  Android and Iphones can now accept tap to pay, and those devices can be setup with a device code also.

Now again is a TRUST issue, what would stop a vendor from running 1/4 of sales through your system, and they signed up for Square and run 3/4 of the sales through their account?  Just other cautions to watch for.