Pretty much everything is stored in the cloud these days: your photos, your credit card details and even your step count - so why not your accounting, too? Accounting software can free up a significant chunk of your time and help you keep more accurate financial records, both of which represent big wins for your business. If you haven’t switched over to the cloud yet, here’s why it pays to move with the times.
What is Cloud Accounting?
Cloud accounting is accounting software that works over the internet rather than storing data and programs on your computer’s hard drive. Cloud based software has disrupted and transformed many industries, and accounting is no different. Besides, it’s here to stay and so the smart thing to do is adapt and use the power of the cloud to your advantage.
Is the Cloud Secure?
Understandably, one of the biggest concerns business owners harbour regarding the cloud is its security. However, the cloud is actually more secure than traditional hard drive storage. For one thing, your computer is susceptible to physical damage, such as spillages, fire and electrical faults, not to mention loss or theft. If your computer is destroyed, cloud accounting software ensures that you’ll still be able to access your data from another device. Most cloud accounting options provide strong protection for your sensitive data and use secure solutions such as encryption to make sure that your accounts stay safe. It’s much more difficult for a hacker to infiltrate the cloud than it is your laptop - and easier to recover your data too, thanks to automated backup solutions.
The cloud enables you to manage your accounts from anywhere, on any device. As a business owner, this permits you to lead a more flexible lifestyle. For example, if you need to update your accounts over the weekend, cloud software saves you the trouble of having to drive into work to access your office computer.
Real Time Updates
Cloud software ensures that all parties will be able to access the very latest data, streamlining communication and encouraging more efficient collaboration. Real time updates save a lot of time and, as a business owner, being able to access your financial data instantly allows you to identify potential problems quickly and fast, informed decisions.
Accounting is a notoriously time-consuming process. However, cloud-based software can automate many complex tasks for you, making you a lot less likely to need those headache tablets you’ve got stashed away in your desk drawer. Furthermore, by freeing up time, cloud accounting software allows you to focus on client generation and business growth, allowing you to scale up rather than get bogged down in complex calculations. Like money, your time is a valuable resource and you should always be looking for ways to save so that you can re-invest elsewhere.
Traditional accounting software has many hefty costs involved, such as maintenance, regular upgrades and system administration. These processes take up a lot of time and can get in the way of running your business. With cloud-based software, however, upgrades are free, automatic and won’t take a chunk of time out of your day.
Rapid growth can present an array of issues for a business. When you use traditional accounting software, it can be difficult to scale up at the same rate at which your business is growing. Cloud programs, however, present no such issues. It’s simply a case of levelling up your subscription to cope with increased transactions.
Cloud software makes accounting an infinitely smoother process, thus saving your business both time and money that you can reinvest in growth. Furthermore, cloud-based programs permit you to work remotely, allowing you to run your organisation with greater flexibility. Real time updates allow you to stay up to date and put you in control, whilst automated processes and calculations reduce human error and save precious time. The days of USB sticks are well and truly over; cloud accounting is the way forward.