What is cloud accounting software?
Cloud accounting is like any normal accounting software, except that it’s hosted on remote servers and is thus accessible from absolutely anywhere, and on any device, provided that the user has the necessary access permission to view it. The necessary data is sent to the cloud, processed and then returned to the user. Users can then access this data and the necessary software applications remotely, through any device connected to the internet and a cloud application service provider, such as Xero.
What are the benefits of cloud accounting software?
One of the biggest advantages of cloud accounting is that the software and the data can be accessed from anywhere, on any device. This means that employees in remote or branch offices can access the same information and makes it easy to collaborate, no matter how spread out your team may be.
The software provides you with a clear overview of your financial position and documents in real time.
Cloud accounting software is scalable, cost effective and easy to use. A whole range of add-ons can be integrated as and when they are needed, tailoring the software to the needs of each individual business.
Online accounting software negates the need to install and maintain software on individual desktop computers or other devices. This reduces upfront costs for the business, as it means that system updates, maintenance, administration costs and server failures are all taken care of by the cloud service provider.
As all of the necessary software is contained online, there is nothing to install and all of your data is backed up automatically. Furthermore, system updates are free and instantly available, again with no installation necessary.
Cloud accounting software is more secure than traditional software, which normally has to be transferred between users via a USB drive, which is easily misplaced or stolen. Furthermore, when inviting users to access your data through the cloud, it is possible to control the level of access that they receive, rather than the all-or-nothing approach of traditional software.
If one device breaks, or is lost or stolen, it only takes another device with internet connection to get back up and running, so productivity is not impaired in the meantime.
The shift to the cloud is an undeniable trend in the accounting industry, as with many industries, and can only be expected to continue into the future. Because of this, it is definitely worth considering your options now to see what providers are available and would best suit the needs of your business.
Here at Phebys, we are a profession and proactive group of Chartered Certified Accountants in Huntingdon. We know everything there is to know about accounting software in the cloud and we are proud to be Xero Silver Partners. If you would like to find out how making the switch to cloud accounting software would benefit your business, do not hesitate to contact us. You can either call us on 01480 896267 or, alternatively, email us at email@example.com, and we will be more than happy to discuss your options with you.