Merlin Software

What Merlin Software does

Merlin Software Pty Ltd is an Australian family-owned software company founded in 1981 (as Kendle Consulting Services, rebranded to Merlin Software in 2000) and headquartered in Flinders Park, South Australia. The company develops and supports Cobalt RMS (Retail Management System), a natively integrated suite of on-premises and private-cloud applications covering point of sale, accounting, payroll, workshop/job management, commission sales, eCommerce (via Shopify), and a web-based mobile extension (Cobalt Touch). The underlying architecture is built around a proprietary Cobalt Enterprise Server and private communication protocols with claims of no historical data breach; all modules share a common database to eliminate manual re-entry.

Merlin Software targets small and mid-market retailers in rural, agricultural, automotive, and hardware supply industries across Australia, with additional installations in New Zealand, Thailand, and the United States. The company supports industry-specific workflows such as consignment stock, dangerous goods, livestock and wool commission sales, and multi-site franchise or co-operative management. Distribution is entirely direct: website-driven demo bookings, inbound phone/email enquiry, and presence at industry events such as the AIRR Conference, supported by an in-house Adelaide-based sales, development, and support team.

The business operates a multi-year subscription pricing model with tiered plans (Small Business 1-2 users, Single Site 5+ users, Multi Site 10+ users) and complementary revenue from implementation services, custom programming, hardware and POS peripheral resale, and resold Microsoft 365 and web hosting. Key technology and ecosystem partnerships include Shopify (2023), Nutrien Ag Solutions (2021), Talman Software (2017, integrated with the dominant Australian/NZ wool IT provider), mx51 EFTPOS (2019), and Independent Hardware Group. No external institutional funding has been disclosed; ownership remains with the Kendle/Garland family with Louise Garland serving as Managing Director since 2003.

Name

Merlin Software

Legal name

Merlin Software Pty Ltd

Website

https://merlinsoftware.com.au

Company type

Private

Founded year

1981

Operating status

Operating

Headcount range

11–50 employees

Short description

Merlin Software is an Australian family-owned business that develops and supports Cobalt RMS, a natively integrated retail management system for SMB and mid-market retailers in rural, agricultural, automotive, and hardware supply industries across Australia, New Zealand, Thailand, and the USA.

Ownership category

akta.pro rank

Product category

Retail Management Software

NAICS

Software Publishers (5132), Software Publishers (513210)

SIC

Services-Computer Programming, Data Processing, Etc. (7370), Services-Computer Integrated Systems Design (7373)

akta.pro primary industry

Integrated POS Payments (ISVs & Vertical POS Platforms) (FSAMADAD)

Keywords

• Retail management software
• Point of sale systems
• Inventory management software
• Rural retail software
• Multi-site retail management

Headquarters

HQ city

Flinders

HQ country

Australia

HQ region

Oceania

Offices1 record

Markets served

GTM type

B2B

Offering type

Software

Cost components

Personnel, Technology or R&D, Operations, Marketing or Sales, Infrastructure, Supply Chain

Revenue model

1. Software Licensing (Subscription / Perpetual): Cobalt RMS is available as a private-cloud subscription or on-premises perpetual license. Private cloud deployments are hosted off-site by Merlin Software via Australian-based private cloud infrastructure. On-premises deployments include the Cobalt Enterprise Server hardware. No upfront fees are charged; pricing is quote-based and tailored to business size and needs.
2. Implementation & Onboarding Services: Optional on-site setup charges; most clients choose remote installation. Onboarding includes dedicated specialist assistance, data conversion, and 8 hours of startup training remotely during the first month. Additional remote training sessions can be purchased separately.
3. Additional IT Services & Hardware: Merlin Software resells computer hardware (desktops, laptops, tablets, printers), POS peripherals (scanners, cash drawers, docket printers, PDTs), Microsoft 365 services, web hosting, and domain registration as additional paid services complementing Cobalt RMS.
4. Custom Programming & Data Feeds: Custom programming and custom data feeds are available as paid additional options. Cobalt Data Feeds powered by the Merlin Transfer Utility allow fully customised data exports from Cobalt modules for bespoke software and website development agencies.

Pricing tiers

Go-to-market motion2 records

Distribution channels3 records

Marketing channels7 records

Core offering

Merlin Software develops and sells Cobalt RMS, a comprehensive retail management system with natively integrated POS, accounting, payroll, workshop job management, commission sales, and eCommerce modules, designed for rural, automotive, and hardware supply retailers. The platform is available as on-premises deployments using proprietary Cobalt Enterprise Server (CES) hardware or as a private-cloud subscription hosted in Australia, and includes unlimited ongoing support in every agreement. The company also resells complementary computer hardware, POS peripherals, Microsoft 365 services, and web hosting as additional paid offerings.

Product overview

Merlin Software offers Cobalt RMS, a comprehensive retail management system built as a platform-plus-modules architecture. The core Cobalt RMS platform comprises natively integrated modules: Cobalt Sales (flagship POS and inventory management), Cobalt Accounting (accounts payable and general ledger), Cobalt Payroll (STP Phase 2 compliant), Cobalt Workshop (job/service management), Cobalt Commission Sales (agency settlements), Cobalt Touch (mobile extension), and Cobalt Reporting (cross-module analytics). Additional modules include eCommerce integration (Shopify), Head Office Link for multisite management, and Custom Data Feeds for bespoke exports. All modules share a common database and work seamlessly together. Merlin also provides ancillary services including computer hardware, POS peripherals, Microsoft 365, and web hosting. The system is available as on-premises or private cloud deployment, with unlimited system support included in all agreements.

Differentiator

Problem solved

Functional benefit

Brands

• Cobalt RMS: Cobalt Retail Management System - comprehensive retail management software solution including Point of Sale, Accounting, Payroll, Workshop, Commission Sales, eCommerce, and Cobalt Touch modules.
• Cobalt Sales
• Cobalt Accounting
• Cobalt Payroll
• Cobalt Workshop
• Cobalt Commission Sales
• Cobalt Touch
• Cobalt Enterprise Server (CES)

Products and services

• Cobalt RMS (Retail Management System) The primary retail management system platform for SMEs in rural, automotive, and hardware supply industries, offering complete natively integrated modules for point of sale, accounting, payroll, workshop, commission sales, and eCommerce. Available as on-premises (with Cobalt Enterprise Server hardware) or private-cloud deployment with unlimited system support included in every agreement.
• Custom Data Feeds Paid add-on data export service powered by the Merlin Transfer Utility, enabling fully customised data exports from Cobalt RMS modules to secure network locations or email addresses for advanced reports, customised dashboards, CRM systems, and bespoke software and website development integrations.
• Computer Hardware & POS Peripherals Additional paid offering of computer hardware including desktops, laptops, monitors, A4 and multifunction printers, Windows or Android tablets, and general IT hardware, plus POS peripherals such as barcode scanners, cash drawers, docket printers, signature pads, and portable data terminals (PDTs).
• Microsoft 365 Services Resold Microsoft 365 service offering enterprise-level email, Microsoft Office applications (Outlook, Word, Excel, PowerPoint, Publisher, OneNote), Microsoft Teams online meetings and chat, OneDrive file storage and sharing, and SharePoint intranet, included as part of Merlin's managed service offerings.
• Web Hosting Domain registration and renewals, DNS configuration and management, website hosting, SSL certification, basic website management, and data security with regular backups as part of Merlin's additional IT services.

Quantifiable outcome

• Yolla Co-Op reports that the Cobalt Multi-Store module saves half a full-time employee role and removes errors associated with manual data entry by providing real-time data synchronisation across two store locations.
• +2 more outcomes

Named customers10 records

Segments4 records

Ideal customer profiles4 records

Technology focussed Yes

API detail

Has API

No

API docs

API detail

Core technology

AI maturity

App detail

Integration12 records

Feature10 records

Partnerships

Three partnerships are on record, tiered core.

• ShopifycoreTechnology or Integration · 17 April 2023Cobalt Sales offers a seamless end-to-end integration with Shopify, enabling businesses to manage their online store with ease and efficiency. The integration synchronises product details, pricing, stock levels, and orders between Cobalt RMS and Shopify every 10 minutes or manually. Cobalt becomes the single source of truth for both online and offline retail data.
• Nutrien Ag SolutionscoreTechnology or Integration · 14 December 2021Merlin Software developed the Nutrien Ordering Portal integration enabling Cobalt users to access Nutrien's online ordering platforms directly from Cobalt Sales. The portal provides real-time access to Nutrien pricing and stock availability for over 100,000 product lines. Users can place orders, view stock on hand, and access OPAS shopping lists without leaving Cobalt.
• Talman SoftwarecoreTechnology or Integration · 1 February 2017Merlin Software developed an integration between Cobalt Accounting and Talman Software, the largest provider of in-house wool IT systems in the world with over 75% market share in Australia and New Zealand. The Talman Import function allows Cobalt users to import wool invoices from Talman into Cobalt Accounting accurately, eliminating manual data entry.

Scale indicators6 records

Recent moves6 records

Expansion highlights5 records

Direct peers

• TouchBistro: POS system for retail and hospitality built on a module-based architecture. Comparable product design and target customer profile to Merlin's small business retail focus.
• Lightspeed: Cloud-based POS and retail management platform serving retail and hospitality verticals. Closest direct competitor to Cobalt RMS in the SMB retail management space, with overlapping modules for POS, inventory, multi-site, and reporting.
• Vend: Cloud POS for retail that was particularly strong in Australia and New Zealand before its acquisition by Lightspeed. Directly comparable product offering to Cobalt RMS in the Australian SMB retail segment.
• EPOS Now: Cloud-based POS and retail management system targeting SMBs with integrated payments, inventory, and reporting. Directly comparable modular architecture and customer segment to Cobalt RMS.
• Kounta: Australian-origin cloud POS platform (later acquired by Lightspeed) that was a direct competitor in the Australian SMB retail and hospitality market. Comparable SaaS delivery model and customer profile to Cobalt RMS.

Broad incumbents

• Square (Block): Major POS and retail management platform with very broad market reach across SMB retail. Offers overlapping POS, payments, and inventory capabilities as part of a wider commerce and financial services portfolio.
• Shopify POS: Omnichannel retail platform combining eCommerce and in-store POS. Competes on integrated online/offline retail operations; broader retail and brand scope than Merlin's rural/automotive/hardware focus.
• PayPal Zettle: Mobile POS and payment processing for SMB retailers, offering integrated hardware and software. Broader payments-led offering with overlapping POS and basic retail management capability.

Others

• MYOB: Leading Australian SMB accounting and business management software. Adjacent rather than directly competitive — overlaps with Cobalt Accounting but does not offer a comparable integrated POS/retail suite.

Emerging players

• ServiceM8: Australian job management software for trades and service-based businesses. Partial overlap with Merlin's Cobalt Workshop module for service and repair centres.

Market position

Competitive moat5 records

Key risks6 records

Key highlights7 records

Customer concentration

• Facebookfacebook.com/cobaltretail
• LinkedInau.linkedin.com/company/merlin-software

Revenue estimate

Valuation estimate

Number of profiles

Profiles6 records

Funding overview

Funding rounds

Investors

Funding detail is available on the Subscription and Enterprise plan.Contact sales →

M&A

Investments

M&A and investment is available on the Subscription and Enterprise plan.Contact sales →

Frequently asked questions about Merlin Software