The Real Challenges That Cloud Accounting Eradicates
You’ll likely have looked up the advantages of cloud accounting before in an attempt to put yourself in a more educated position to make an informed choice on your type of accounting process. Not forgetting the few disadvantages of course since you need to get the whole picture before deciding.
However, whilst a lot has been published about advantages, disadvantages or pros and cons for a simpler way of putting it, we’d like to focus on a few challenges with traditional accounting software that we know for a fact that our cloud accounting approach eradicates.
3 Lesser Known Advantages of Cloud Accounting
- No nasty version upgrades
One of the nasty features that have long been associated with accounting software or any for that matter is the upgrades. You’re using an old version of ____ please upgrade your version.
You do that and then realise you made a fatal mistake. You upgraded the software and forgot to do the backup beforehand. Next thing, you’ve old files that can’t be read using the new version, there’s lost data, corrupt files, and even try multiple users logged in at once, it’ll grind it to a halt.
With cloud accounting, there are no prompts to update software. Everything is managed by your provider and it’s all updated in real time, backups are done frequently and corrupt files become a thing of the past.
- Security is phenomenal in comparison to onsite storage
Don’t be fooled into thinking that because your data is stored on one computer, in a locked office, password protected and files encrypted that you’re safe. How many times have you saved to USB, taken the memory stick home to work on your accounts and then fire it back into your main hard drive?
It is likely to be more than once. That’s a risky game you’re playing by doing that.
With the cloud, you have much more security than you likely do at present.
Ask yourself if you have practices in place for:
- Backing up your power supply
- Firewall failure
- Are you using data encryption software?
- Do you bring in a third party IT security firm to conduct an audit of your digital files and security?
Probably not! Provided you use a reputable cloud accounting software provider, you get all those security enhancements and more.
There’s no doubt that cloud accounting is safer than onsite traditional accounting software.
- It brings you a step closer to the paperless office
Call it a dream if you like, but remember dreams do come true. The paperless office is one of those dreams that not so long ago seemed a distant one. However it is one that’s becoming a reality in the not so distant future.
What you’re doing with cloud computing is digitising your financials. That’s electronic records stored online, which is less storage space you need offline.
That alone will reduce printing, handling, postage and storage costs, which together can add up to a hefty chunk of your annual operational expenses.
If you’re sick of upgrading traditional accounting software to the latest sometimes unstable versions and corrupting files… cloud accounting eliminates that. Your provider takes care of the technical side of things and you take care of the data entry.
Worried about security? The cloud’s far safer than what you’re likely to be doing at the moment with the biggest factor being that you get to take advantage of IT security audits to ensure your data is protected to the fullest.
And last but not least is the one we love. Paperless!
Nobody likes paperwork and with cloud accounting, it’s like there is none. We work with Xero, which if you don’t know they’re slogan it’s “Beautiful accounting software”.
It really is too – they’re not fibbing. Everything neatly presented in an intuitive dashboard and all the tools you need to simplify everything without dealing with paperwork.