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Cloud-Based Accounting and the Modern Business


Hana Dickman


Cloud computing is gaining steam, and small and medium-sized businesses have used it to optimize and automate a number of tasks, from routine processes to more in-depth functions. Cloud accounting offers flexibility, and its functions cut costs while streamlining operations, helping businesses function more effectively in this competitive modern climate.

Software as a Service

Software as a Service, or SaaS, is a software subscription model in which business software is hosted externally, and users access it through the Internet. Software as a Service assists companies with cloud computing functions, and offers great advantages in accessibility and storage. Rather than managing a business’s information in a local space, off-location storage environments are used. Often, SaaS solutions allow information to be accessible between many devices, making cloud-based accounting mobile yet secure.

Cloud-Based Accounting and Security

Cloud-based accounting is highly secure because the information isn’t stored on physical, removable devices. Operations require authorization, and a business’s financial information — while accessible via mobile technology — still retains the protection of internet-based storage.

In addition to information security, backup security is similarly provided through cloud-based accounting processes. If data file versions are lost, cloud-based copies are immediately accessible, and replacement is automatic. Understandably, such security is highly valued in the modern business realm. Storage needs are reduced, and important information is protected from untimely deletion.

Easy Access

Cloud-based accounting, as stated above, is highly accessible. Important documents, information, and saved content is available at home, at the office, at the airport, or on a business trip. As a result, cloud accounting increases communication efforts and enhances overall workplace processes. When presentations, documents, and spreadsheets are readily available, projects become streamlined. Cloud computing creates a real-time work environment, capable of providing constant connection.

Low Start-Up and Operational Costs

Cloud accounting is very cost-effective. Desktop software and long training hours aren’t needed, saving significant expenses. Small businesses regularly lack the funds needed to acquire the world’s latest technology, but cloud computing is generally very affordable.

Upgrades are installed automatically, removing the need to acquire expensive software updates. Up-to-date accounting software is normally provided free of charge, keeping a business’s information totally upgraded and secure. Free trials, too, are offered, ensuring that the right update is acquired. Understandably, every business contains different needs. Add-ons and custom options are always available, outfitting the modern business for the success they need, in the particular climate they operate in.

The Small Business Environment and Cloud Services

Understandably, cloud-based accounting has become an upper-level priority of businesses seeking privacy, security, and simplified operations. Any software that helps alleviate the limitations on time and physical space is highly valued.

Cloud services reduce a business’s reliance on an IT team, thanks to the user support that comes with each services. Plus, new businesses don’t need to maintain in-house financial dashboards anymore, or store up-to-date financial document hard copies.

Again, customization is always a benefit. Cloud accounting packages can be expanded and reconfigured to address growing work environments. As a business scales, so do its needs. Changing business conditions benefit from flexible systems, and financial storage platforms are among any commercial entity’s top concerns.

The Information Age

Data entry serves a critical purpose in most businesses. The Information Age is powered by readily accessible transaction data, real-time banking systems, and self-operating accounting systems. Manual information entry isn’t viable in such a fast-paced environment, and cloud-based accounting systems eliminate the need for manual download and upload chores. As businesses grow, stored data remains constant — ready to be recalled, upgraded, or altered.

Cloud-based accounting doesn’t only fill the gaps. It creates a tighter workplace, allowing multiple functions to occur simultaneously. Small business decision makers have been empowered with some of the technological world’s best assets, outfitting them with powerful, adaptive tools. In such a climate, little more can be asked for.