Cloud computing has revolutionised our daily lives in recent years. We share family photographs on Facebook, pay our bills via internet banking, and check our email while on the move with our mobile phones. So, why aren’t we using the cloud in our business lives the same way we use it in our personal lives? Cloud-based accounting software now provides all of the functions and dependability of your regular desktop accounting system, as well as a slew of other features that only internet technology can provide.
There are a great range of accountants that utilise cloud accounting software – so don’t hesitate to take full advantage today to streamline your business’ finances.
In this blog, we’ll be exploring a few of the ways that cloud accounting software can benefit your business – read on!
You can get access to your accounts and core financial figures at any time, from anywhere with cloud accounting. You’re really tied to the office when you employ a traditional system. Your programs, data, and accounts are all stored on a local drive, which restricts your ability to access your financial information.
Cloud-based accounting removes this limitation. Your data and records are all securely encrypted and stored on a cloud server. You simply log in and work from your web browser anywhere with Wi-Fi or an Internet connection, so you can check on the status of your business at any time.
Security of cloud-based accounting software
Your accounts and records are all saved and backed up on a cloud-based system with high-grade encryption.
If you’ve ever used desktop accounting, you’ll be familiar with the necessity to back up your work at the end of each day. You’ll also be aware of the need for upgrades whenever your provider releases a new version of the software.
Back-ups and software updates are no longer necessary on a cloud platform. You’re always running the most up-to-date version of the software, with all of the latest features, tax rates, and returns. Also, as you work, your tasks are automatically saved for you, so you save both time and money on repetitive back-ups.
Ability to Share
When you work in the cloud, collaborating with co-workers and sharing data with your advisors is a really simple procedure. You had restricted access to your accounts using the traditional approach; thus collaboration with colleagues and advisers was difficult. If your accountant required precise figures, they would need to be emailed back and forth or stored on a USB memory stick and sent directly to their office.
With Xero or Sage, you, your co-workers, your management team, and your advisers can all access the same figures – instantly and from any part of the world.
Cloud accounting can reduce the amount of paperwork in your office. Traditional accounting, dealing with paperwork, data entry, and financial administration might begin to consume a significant amount of time in your business. Everything must be printed out and handled in tangible form, which is time-consuming, ineffective, and harmful to the environment.
You can dramatically decrease your reliance on paper with online accounting software. It’s possible to send out invoices directly to clients, eliminating the need for printing and mailing expenses, while also speeding up the payment procedure. Bills and receipts can be scanned and immediately saved with the transactions relating to them in your accounting software.
There’s no need to keep paper copies of your documents because they’re all computerised and stored in the cloud-saving file.
Improved Control Over Your Finances
The efficiency of online accounting software allows you to exercise considerably more control over your core financial processes. The whole invoice procedure is streamlined – providing you with a clearer picture of projected income, an overview of outstanding bills, and a clear breakdown of what each customer owes your business.
This, in turn, helps with your cash flow management and forecasting. With real-time information at your fingertips, you can make informed decisions about how to allocate your resources, when to chase up debts, and where to invest in the future.
When everything is done manually, there’s always scope for human error. Even the most experienced bookkeeper can make a mistake when dealing with complex financial data. Online accounting software uses cutting-edge technology to automate repetitive tasks and minimise the risk of errors in your accounts.
Plus, with real-time data at your fingertips, you can track your business’ performance on a daily basis and spot errors as they happen – meaning you can put things right immediately.
What’s more, by automating the tasks that are most prone to human error – such as data entry and calculation – you free up your staff to focus on other areas of the business. This increases efficiency and productivity across the board.
The cloud has revolutionised the way businesses operate, and by making the switch to online accounting software, you can enjoy a wide range of benefits for your business.