5 Ways Cloud Accounting Can Transform Your Business
Wednesday, October 18, 2017, 6:00 AM | Leave Comment
Cloud computing has led the way for SaaS (software as a Service) companies, offering the functions of traditional software minus the need for local drive installation and software licenses.
Simply put, one only needs to connect to the internet and access a site to perform a task. Businesses, whether big or small, benefit from using the on-demand software.
On-demand services simplify one of the major business support areas: accounting and bookkeeping. Cloud accounting allows owners and executives to focus on growing their business instead of dealing with administrative work or with planning system infrastructure.
The Benefits of Cloud Accounting
If you use cloud accounting services, your business can achieve the benefits of mobility, convenience, and cost-efficiency.
Here are 5 reasons why you should consider cloud accounting:
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Accessible anytime, anywhere from any device
Cloud accounting gives you access to your data wherever you are at any time.
If you need to reference a report or to upload a receipt while you’re on a business trip, you can simply access the app, log in, and upload receipts or download charts.
Because cloud accounting systems need not be installed onto your devices, you can simply log in with any device (your tablet, phone, or computer) to view your books.
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More efficient collaborations
Does your Finance team keep track of invoices? Does your Orders and Logistics team encounter record discrepancies?
Cloud accounting allows anyone from the team to address bookkeeping and records clarifications, making teams more efficient and collaborations with your accountant faster and easier.
The best part of working with the cloud is that anything you upload can be viewed in real-time by your colleague who can be halfway across the globe.
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Additional Savings
Installing and maintaining your own accounting system means that you need to expand your infrastructure as the business grows.
In order to expand your infrastructure, your business must incur additional expenses for servers, software licenses, and other fees that come with upgrades and expansions.
With cloud accounting, the provider shoulders infrastructure costs. Once your business expands, you will only need to upgrade your subscription depending on the pricing scheme if you need more features. Subscription upgrades are ultimately more cost-effective than the maintenance costs that come with system upgrades.
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Increased Security
With traditional accounting systems, copies of receipts on your local hard drives are safe, as long as your hard disks do not crash or are not corrupted. But what happens if your hard drives and/or servers fail?
Cloud accounting systems take multiple secure backups of your data in server farms, ensuring that your data is safe and can be recovered when needed.
In terms of data security, maintaining accounting software means enforcing security measures to prevent information breach and unauthorized access.
With cloud accounting, keeping your data secure is one of the key responsibilities of your service provider.
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Increased Scalability
Expanding an existing accounting system requires forecasting and dimensioning performed by a skillful system designer or a consultant.
Upgrades may involve managing downtimes and data migration as well. WIth cloud accounting, your provider manages the infrastructure, making sure that the backend expands to accommodate the needs of your growing business.
As a client, all you have to do is to inform your account manager about incoming additional users, a requirement for complex reports, or new features.
Migrate to Cloud Accounting Today
Cloud accounting services provide you with increased mobility, work efficiency, system security, and scalability, all contributing to lesser infrastructure expenses.
Whether you are starting a new business or your business’ bookkeeping is getting too complex for your in-house traditional accounting system, you can always evaluate starting with or migrating to cloud accounting.
Start by finding an accounting firm with cloud accounting services.
Sources for Reference
https://www.xero.com/ph/resources/small-business-guides/cloud-accounting/cloud-accounting-business/
https://www.entrepreneur.com/article/273941
https://www.onepagecrm.com/blog/xero-admin-top-five-benefits-of-cloud-based-accounting
