Most of us have heard of the term ‘cloud accounting’ but there are many people who come to us not knowing what it actually means.
Put simply, cloud accounting is where computer software is used to input accounting data, which is then sent and hosted on the Internet by a network of remote servers. This network of servers is what is referred to as the cloud.
But what are the benefits of cloud accounting versus traditional forms of accounting such as bookkeeping? We’ve listed our top five reasons to switch to cloud accounting if you haven’t already.
Since your accounting information is stored on the cloud, you are able to access it securely from anywhere, at any time, from any device. Think digital banking – it’s a very similar scenario to that. Any web-based device will do - you don’t even have to have a traditional accounting system loaded onto your PC.
No matter where you are in the world, cloud accounting enables you to share data and work on accounts alongside someone else from your organisation. This can not only lead to better communication within your company but also holds the potential for better business decisions.
What many of our customers don’t realise is that cloud accounting software can actually be installed for free and you only have to pay a monthly subscription. This means one straightforward fee and no surprise charges or extra costs. You only pay for what you use, which also means its ideal for SMEs, entrepreneurs or recent start-ups.
Cloud accounting software can pinpoint errors and download real-time data. This means that you will no longer require manual data entry processes – which is where many of the errors originate in the first place.
Many people we speak with are concerned about a lack of security when they think about cloud accounting. However, cloud accounting is actually much safer than traditional methods of accounting. All data is stored on the cloud and continually backed up. This mean you will never need to worry about losing data or forgetting to perform a manual backup.
Acumen has been an accredited accountancy software provider for over 20 years and has forged good relationships with software companies over that time. The team work closely with them to ensure that we are confident in our recommendations to our clients and the capabilities and securities of the packages.