If you’ve been involved in anything to do with accountancy over the last few years, you will doubtless have heard about “the cloud”. With good reason, too, as cloud accounting is growing in popularity among businesses of all sizes.
Why is that? Simple – it offers many benefits. But first, the most important question.
What is cloud accounting?
Cloud accounting is a broad term that is mainly based on the concept of cloud storage. A cloud is essentially a remote server, which you and your accountant will have access to. This cloud server is hosted and managed either by your accountants themselves or by a dedicated hosting partner they have chosen. That means none of your data is actually stored on-site. There’s no need for physical storage devices because the storage of your accounting data is handled remotely.
You can then access all your data by logging in through the appropriate virtual gateway.
What are the benefits for you?
So cloud accounting is basically storing and managing your accountancy remotely. Why should you?
1. You can access it anywhere
With cloud accounting, you can access your important documents and data from basically anywhere. The login gateway can be accessed via mobile devices, laptops, tablets, or office desktops. That means it’s easier than ever for you to fit your accounting tasks around your busy schedule. You’re no longer tied to the office where your accounting data is stored on physical drives, instead, you can access it anytime and from anywhere. Whether it’s at home, travelling to a meeting, or anywhere on your premises, you have instant access to the documents you need. That means important data is always at your fingertips.
2. Save yourself considerable money
Cloud accounting saves money too. How can that be? It’s simple: it takes the pressure off you to invest in equipment on an ongoing basis. When you use physical storage drives in your premises, for example, you always have to upgrade them or buy new ones when their memory is filled. You could go down the route of buying an onsite server yourself, but purchasing and maintenance costs can be steep. With cloud accounting, however, the actual burden of the storage requirement is on the side of the server – that means you’re paying a much lower usage fee, which means you can use your existing equipment for longer before needing to upgrade.
3. Make your workflow more efficient
Sharing data is a core part of how many businesses work, and using cloud accountancy you can streamline your data management processes considerably. This is because multiple people can access and share the same data simultaneously, all from one location. For example, you and your accountant can have a virtual meeting and both be looking at the same documents when discussing business strategies going forward. Again, this makes it more convenient than ever for you to make informed decisions about your next step. Similarly, it’s also much easier for you to share relevant financial information between departments, with clients, or with suppliers.
4. Improved levels of security
Many business owners don’t understand the security requirements necessary to keep financial data safe. Not only does this lead to an increased risk of that data being stolen or compromised, but it also increases the risk of them falling foul of GDPR data protection regulations. With cloud accountancy, however, you’re not storing the data on your premises or on your machines. Your server hosting partner is going to have considerably stronger levels of threat protection than most businesses can manage on their own. Similarly, they will be constantly updating their security threat definitions, to keep your data as safe as possible.
5. Scalable with your business
Cloud accounting is an excellent choice because it offers flexibility and scalability with the growing requirements of your business. As you continue to grow, your accounting needs are going to develop and change. With cloud accounting, it’s much easier to implement the necessary changes in order to keep your accounting data flow as efficient as possible. Employee payroll, growing cash flow, increased budgets, and more are all part of the accountancy journey of any growing business. With cloud accounting, it becomes easier to scale with your needs. As you require more and more storage space, it’s easy to upgrade your hosting package.
These are just five of the many reasons why cloud accounting is growing in popularity. It’s efficient, scalable, secure, and affordable for businesses of all sizes – consider investing today.
For more information please visit – https://vertisaccounting.co.uk/digital-cloud-accounting/