What Is Cloud-Based Accounting?

WHAT IS THIS THING CALL 'THE CLOUD'?

Before diving straight into cloud-based accounting, we first need to understand what is “The Cloud” and what does it mean?

Let’s use internet banking as an example. Every time you access data, you’re using “The Cloud”. The cloud is a platform to make data and software accessible online anytime, anywhere, from any device. Which means your hard drive is no longer the central hub.

WHAT IS CLOUD-BASED ACCOUNTING?

Now that we are more familiar with the “The Cloud” concept, cloud-based accounting is online accounting software that can be remotely accessed from any device or computer with an internet connection. Which effectively means you don’t have to be tied to the one desktop computer. Most cloud-based accounting software offer multiple levels of security to protect the software and your data. (Nice!)

If you want your business to work smarter and faster, cloud-based accounting software is a wise investment.

Cloud-based accounting has transformed the way data is collected and stored. It can reduce repetitive tasks, enable better collaboration between ourselves and our clients and with the ability to examine and interpret data in real time we are able to give proactive and timely advice. (Which is vital when business owners need to make important decisions about tax obligations and business growth.)

HOW DOES CLOUD-BASED ACCOUNTING BENEFIT YOUR BUSINESS?

Cloud-based accounting software offers a number of benefits for businesses:

  • A clear overview of your current financial postion is readily available in real-time.
  • Multi-user access makes it easy to collaborate online. Allowing business owners the ability to interact with their accountant in real time rather than manually sending a data file or business records each quarter or at end of year.
  • Automatic updates are implemented. You no longer need to download software updates such as new tax rates where a payroll module is used.
  • You’ll never have to worry about data file back ups and you can remotely access your data from anywhere in the word! (Reconciling accounts from a remote tropical island IS possible!)
  • Upfront business costs can be reduced – a monthly access fee is paid which usually works out less than the cost of buying the software and then paying for annual subscriptions.

CLOUD COMPUTING IS HERE TO STAY

As more and more businesses adopt cloud computing, we are all affected in some way. As business owners, continuing to educate yourself about cloud-based accounting software will help you decide if it’s best for your business at this point.

There are many online cloud-based accounting solutions available for business owners to use. At Bosco Accounting our speciality is MYOB and Xero. Contact our office at Bosco Nowra, Sanctuary Point or Sussex Inlet so that we help implement the best choice of secure cloud-based accounting software for your business.

Moving to the cloud could drive your business to a new level of success!