Point-of-sale software company AJB has partnered PayPal to allow merchants to accept PayPal payments at bricks and mortar locations on a wide-scale basis.

As a result of the partnership, retailers will be able to provide its consumers with an option to pay via PayPal in their stores. ABJ will develop a PayPal interface within its payment services platform which can be offered to AJB’s retail customer base. The AJB’s Retail Transaction Switch will deliver the framework which will enable PayPal account numbers to be processed as financial tender by current and future customers of AJB. Just like in Home Depot’s case, PayPal members will be able to pay for merchandise by swiping a PayPal Access Card or by entering the mobile phone number and password associated with their accounts.

AJB is expected to extend PayPal point-of-sale terminals to 250,000 at retailers across US. The integration with AJB’s is set to be launched in Q1 2012.

AJB provides a communications gateway which connects a retailer’s point-of-sale system with financial institutions. Over 140 large-scale retailers including Kohl’s and BestBuy use AJB’s software to manage payments.

In recent news, PayPal has selected US home improvement retailer Home Depot to test its in-store payment system.