Finance management, especially when a business is at its expansion stage, is a hassle. Irrespective of how efficient your finance team is, there are times it gets difficult or too time-consuming to keep track of every transaction. That’s where cloud accounting software comes into the picture. Similar to the traditional, self-install accounting software, a cloud accounting software will take all the stress away from the team without making a significant impact on the budget. For businesses who are new to the concept of cloud accounting software, here’s the blog post to reveal the details. Read on.
What’s Cloud Accounting Software?
A cloud accounting software is hosted on remote servers. It is similar to the SaaS model, as the data is sent to the cloud, from where it is processed and sent back to the user. All the functions in cloud accounting are performed off-site, and data is accessed through the Internet or any other network.
Benefits of Cloud Accounting Software
A cloud accounting software takes away the need to install an accounting software on a desktop or laptop. That’s not all. Here’s the list of reasons why small businesses should buy accounting software that’s on the cloud.
Access to data, anytime and anywhere
For businesses and users who are always on the move, cloud accounting software could bring in a lot of relief as they will have access to the latest financial data any time of the day and from anywhere. Users can see outstanding invoices, account balance, cash position, and other data on their smartphones, tablets, and laptops 24/7. All that they need is access to the Internet.
Lower ownership cost
Unlike the traditional accounting software, you don’t need to install and maintain a cloud accounting software. Also, the software updates on its own, which saves the user’s time. All these minor benefits can reduce the cost significantly.
Financial data protection is challenging, especially for small businesses who might not have an adequate network or infrastructure security in place. Cloud accounting software providers make sure that they take regular backup of data, scan server for a Malware attack, and ensure data is transferred over the encrypted connection. Even if you opt for best free accounting software such as the one provided by zetran.com, rest assured that security parameters will be adequate.
Why Prefer Cloud Accounting Software Over Traditional Software?
Though a large number of businesses are still using traditional accounting software, they have their set of disadvantages.
Mostly, the data in the system is not updates, and even the software is not upgraded.
The biggest problem with using traditional software is that it works on one computer, and one needs to copy the data for backup. This is a big security concern for organizations.
Only one person has access to the software.
Keeping data backup is expensive and complicated.
Upgrading the software is time consuming, complex, and expensive.
Cloud accounting software is an amazing solution to all the finance management related worries of organizations. It enables the entire team to work on the same platform, simultaneously, and from any part of the world.