The advent of cloud-based solutions has completely transformed traditional business practices. Rather than relying on in-house hardware and software, companies can now shift key processes onto the cloud. Whether it’s marketing, customer relations, or in this instance, accounting- there’s a plethora of solutions available. This can be particularly useful for smaller businesses, who may not have the space, resources or expertise, to complete these processes in-house. In, fact there’s a wealth of benefits to moving your accountancy into the cloud.
What is Cloud-Based Accounting?
Traditionally, business accountancy tasks such as invoicing and salary are completed on local computers, using specialised software. However, cloud-based accounting involves the use of apps, hosted on remote servers. These apps can be accessed anywhere, requiring only an active internet connection. With this in mind, What are the advantages of moving to the cloud- particularly for smaller businesses?
Access
As cloud-based accountancy is based online, key financial information can be accessed anywhere, at any time. Whereas in the past, any business owner hoping to access their records were confined to a place of work, but thanks to cloud accountancy, this has changed. In the office, at home or even on the go, company finances can be accessed anywhere, offering peace of mind. In such a fast-paced business landscape, having the ability to react to changes quickly and efficiently is extremely important.
Cost
Traditional approaches to business accountancy would often requite specialised software packages and in some cases, specialised hardware. All of this would cost money, especially when you factor in licenses, maintenance and updates. As with many services situated in the cloud, online accountancy is subscription based. This means business owners have the flexibility to employ these services, when and if they require them. The subscription can be amended to adapt with the business, allowing for growth but remaining cost-effective.
Security
Security is important for every business, particularly when handling sensitive information. Financial details, including that related to employees and customers must be kept confidential and the only way to do this is by employing robust security. Unfortunately, many smaller businesses may not have the money or resources required to invest in expensive security packages. This is another benefit to switching to cloud-based accountancy- as reliable security measures are built-in. After all, companies offering these services have to be seen as trustworthy in order to remain in business. Therefore, business owners can be rest assured that their sensitive data is in safe hands in the cloud.
Updates
Those utilising in-house accountancy software are responsible for any potential updates or required changes. Updating the system is the only way to ensure your financial records remain up-to-date and accurate. However, it can be easy to forget about potential updates or become distracted with another aspect of the business. Contrast this with cloud-based accountancy in which any updates are the responsibility of the provider. This offers peace of mind and frees up valuable time that can be invested elsewhere.
Green
It’s more important than ever to remain environmentally conscious, particularly for businesses. One of the ways in which any company can become greener is by swapping to cloud accountancy. Traditional in-house accountancy, utilising one or more devices, pales in comparison to the efficiency of the cloud. The cloud provides the same accountancy-based service to multiple businesses, utilising fewer devices and less power. This shared approach can help to reduce your carbon footprint and is therefore a much greener alternative.
When looking for a potential provider of cloud-based financial services, it can be difficult to know here to start. Fortunately, the team at Salhan Accountants have a proven track record of excellence in providing a variety of financial services.
