Tools
Who pays for that “best POS” list? Referral fees, explained
How restaurant software referral programs and partner networks pay for recommendations, what the FTC says about disclosing paid links, and how to tell whether a software list was paid for.
By Felix S. Pavel · · 4 min read
Key takeaways
- Many software recommendations are paid: referral programs pay sites, consultants and friends a fee when you sign up.
- Toast's published terms pay advocates $1,000 for a first qualified referral and up to $1,500 for later ones.
- The FTC says a paid connection should be disclosed clearly, and the closer to the recommendation the better.
- Before you trust a list, ask whether they're paid, what the tool is bad at, and what you'll pay in a year, all in.
In this article · 6 sections
Many “best POS for restaurants” lists are paid for. Not always by the list's writer being bribed, but by referral programs: the software company pays the site, the consultant or the friend a fee when you sign up. It's legal and common. What matters is whether you can tell, so here is how the money moves, what the rules say, and how to read a recommendation before you trust it.
How the money moves
Software companies grow by referral. The simplest version is a program that pays anyone who sends them a new customer. Toast publishes its terms. Under its Toast Advocates Program, consultants, investors, friends and customers' staff in the US can refer a restaurant, including through a personal link shared on a website or blog. When the restaurant signs and has been live for at least seven days, Toast pays:
| Referral | Paid to the advocate |
|---|---|
| 1st qualified referral | $1,000 |
| 2nd and 3rd | $1,250 each |
| 4th and every one after | $1,500 each |
| Later locations of the same group (up to 14) | $500 each |
Toast is open about it, and that's to its credit: the terms are public. Its page also says that businesses with a partner agreement are paid under that agreement instead, so what a bigger partner earns isn't on the page.
The other version runs through networks. Companies such as PartnerStack run marketplaces where software companies list their partner programs and approve the sites, consultants and agencies who promote them. Its own help center describes the network as the place partners go to “join partner programs and earn commissions”. A site in that network earns when its readers sign up.
What the rules say
In the US, the Federal Trade Commission's endorsement guidance covers exactly this. Its plain-language questions and answers say that someone who earns a commission through links should disclose it clearly, so readers can decide how much weight to give the recommendation, and that “the closer the disclosure is to your recommendation, the better”.
- “Paid link” next to the link should be enough, the FTC says.
- “Affiliate link” on its own may not be understood, and a “buy now” button isn't a disclosure at all.
- A note in the footer, far from the recommendation, is the kind of placement the guidance warns about: a reader may not make the connection.
The guidance is about telling readers, not about whether a site may earn. So the question for you is simple: when you read the list, could you see who pays?
Six signs a list is paid
None of these proves a list is bought. Two or three together are a reason to read it more carefully.
| What you see | What it can mean |
|---|---|
| Every product has a “Get a demo” or “Get started” button | Each button may be a tracked referral link |
| No prices, or “contact us for pricing” everywhere | The list is selling the sign-up, not helping you compare |
| No downsides for any product | Nobody is paid to tell you what a tool is bad at |
| The disclosure is only in the footer or on an About page | It's far from the recommendation, where readers miss it |
| The same three brands top every list you find | Those may be the programs that pay best |
| The writer sells software or services too | Their own product can quietly win |
Questions to ask before you trust a recommendation
These work on a website, a consultant, an accountant, a friend in the business or a sales rep. People who are paid fairly don't mind them.
- Do you get paid if I sign up? How much, roughly?
- Which tool would you pick for a place like mine if nobody paid you?
- What is this tool bad at, and who should not buy it?
- What will I pay in a year, all in: software, hardware, card processing and add-ons?
- How do I leave, and what does leaving cost?
The fourth question matters most. Software is rarely the biggest number: card processing often is. Our post on what restaurant software costs a year adds it all up.
Free calculatorBefore you switch: card fees calculatorSee what your card processing costs per 100 dollars of card sales, against a dated fair range, from your own statement.How we do it
We'd rather show our own rule than ask you to take it on faith. Our free profit check, calculators and AI tools recommend no product. If we ever show a company under a result, the link is marked “Paid link” right next to it, a fee never changes your grade or what we write about your restaurant, and the companies are listed on our paid links page. Right now we show none.
This week
- Find the list or person that recommended the software you use most, and check it for the six signs above.
- Pull last month's statements and add up what that software really costs you: subscription, hardware, card processing, add-ons.
- Put your card statement through the card fees calculator to see where you stand.
- Next time a rep or a list recommends a tool, ask the five questions before you book the demo.
Felix S. Pavel, founder of RestaurantDoctorAI, built the free profit check for independent restaurants.
Sources
- US Toast Advocates Program Terms & Conditions, Toast, Effective for referrals submitted on or after March 1, 2026.
- Joining the PartnerStack Network, PartnerStack.
- FTC's Endorsement Guides: What People Are Asking, Federal Trade Commission.
How this post was made: drafted with AI help. Every figure and rule in it was checked against the sources above on .
General information for independent restaurant owners, not financial, tax or legal advice. Figures are as each source published them on the date shown; check the source for the latest.
