Accounting

Cloud accounting is an attractive option for small business owners. When using cloud accounting software, IT tasks such as version upgrades and data backup are managed by the application vendor. Cloud software can save your company time and money. You can use cloud-based software from any device with an internet connection.

In the cloud, there’s no need to install and run applications on a desktop computer. Instead, you pay for the software by monthly subscription.

What is the “cloud”?

It is similar to the use of internet banking. Every time you access your data, you’re using the cloud. The cloud is a platform to make data and software accessible online anytime, anywhere, from any device. Your hard drive is no longer the central hub.

How does it work?

All you need to do is scan and upload your financial documents to my website, or use your smartphone by taking a photo and emailing them to me. I take care of the rest. You can access your company files, anywhere, anytime provided you have an internet connection.

Once you reach a point where your business is looking to outsource specific tasks the multiuser feature of cloud accounting allows you to give different people access to your financial records and bookkeeping process, which they can access remotely by using their own password.

For new businesses, starting fresh with a cloud solution is easy as signing up. Established businesses, however, will need to plan ahead for migration to ensure that critical data is kept intact and everything continues running smoothly.

Here are the top benefits to consider when researching cloud accounting solutions:

  • You cut down on paper, and easily view, organize and share your documents remotely from anywhere in the world.
  • It gives your accountants a tool to cut down on time-consuming tasks and streamlines the accounting process.
  • Cloud accounting software allows businesses to purchase what they need and increase their expenses as they grow. This includes adding more storage space, users, and more advanced features.
  • There are no contracts to lock you in with a specific vendor or cloud accounting technology.
  • Companies that pay a cloud accounting subscription receive updates to the software as soon as they arrive, with no additional software purchases required.
  • The cloud provider completes the backups, updates occur automatically and nothing needs to be downloaded or installed on a company computer.
  • Cloud accounting provides an equally secure (and sometimes even more secure) method of storing financial information than traditional accounting software. Access to the cloud is encrypted and password protected.
  • Login credentials for your cloud accounting software enable only designated people to view and access your financial information. Data is completely private and protected.
  • Sharing data is also less worrisome. With cloud accounting, two people simply need access rights to the same system with their unique passwords.
  • Lastly, cloud providers usually have backup servers in two or more locations. Should one server network go down, you still have access to your data. Information kept just on-premises could be destroyed or damaged in a fire or natural disaster, and may never be recovered.