3 Features of Cloud Accounting

Recently, we discussed “the conversion from hard drive accounting to cloud accounting”. To give you a more comprehensive understanding of cloud accounting, let’s investigate its features and advantages:

1. Accessibility

One of the main features of cloud accounting is accessibility. When using cloud accounting, the user can access his data on any device from anywhere in the world as long as there is an internet connection. This gives the user complete mobility and flexibility to work from anywhere, monitor finances and keep up with the world’s mobile trend. Users are no longer anchored to their desktop computers and can work from home, while on vacation or while sipping java at Starbucks. This allows for tremendous flexibility and may enhance one’s work/life balance.

Colleagues can also collaborate, and share data found in the cloud. Hence, cloud accounting is ideal for users based in multiple locations or for the accounting firm that can now expand into other geographic areas or serve multiple clients from the comforts of their home office. No more does the accountant have to travel to the client’s office to gather information or pass files back and forth via flash drives or email. The cost savings derived from reduced travel and increased efficiency often results in lower fees for the client.

2. Security

Another feature of cloud accounting is security. In fact, cloud accounting is a more secure system for storing data than the traditional desktop, LAN or laptop computer. Remote servers used in cloud accounting have tight security protocols including advanced user permissions and tw0-step authentication. If a device, such as a laptop or tablet is stolen, having remote storage in the cloud rather than storage on the device can serve as an additional layer of data security. Data in the cloud is also backed up continuously, which prevents loss of information in the event of a power outage or natural disaster.

3. Cost

Lastly, cloud accounting users often realize significant cost savings when compared to the acquisition, development, equipment and personnel costs associated with in-house systems. The initial capital investment is minimal since there are no servers on site. Also, rather than purchasing the software upfront, most cloud accounting providers offer flexible payment terms in the form of annual or monthly subscriptions. Users don’t have to worry about updating the software periodically since updates are normally included in the subscription.

Savings from software acquisition, IT maintenance and equipment can be reallocated to other areas of the organization. Users that are environmental conscious can take solace in the fact that overall energy consumption is reduced through the use of cloud accounting since servers are not running and being cooled 24/7.

In our world of numbers, it’s important to stay on top of technological trends. If you are still one of those users who are “stuck” on the traditional model of accounting systems, you may want to consider shifting.

We know how difficult change it can be, and we understand it is going to be a huge leap for many of our colleagues, but here at HWA, we embrace change that can help us be more efficient and provide better services to our clients. We are here to help clients and colleagues alike make the transition.

The Wright Way is Your Right Solution.