Bookkeeping and accounting that had been associated with, reams of papers, books and cabinet of files, binders a good 60 years back has come a long way with the help of technology. What started with simple paper, pen and pencil evolved into manual and digital spreadsheets, accounting software and today, cloud accounting – all in search of optimum efficiency, improved accuracy, security and scalability.
Just when Account software has become a norm, cloud accounting forayed into the accounting industry offering even more benefits for businesses. However, most business owners are not completely aware of this new wave of cloud accounting and its benefits, which can be detrimental for their accounting side of things in the longer run, especially when remote accounting is the future.
If you are one of them, then this blog is for you. Here, we cover the basics of cloud accounting and help you understand the benefits of adopting cloud accounting for your business. So, read on:
What is Cloud Accounting?
Cloud accounting is a new way of performing all your accounting activities by accessing an accounting software simply from your web browser without actually installing it on your system. All the business books – data and records of assets, liabilities, income and expenses etc. are uploaded and synced with the accounting system that is hosted on secure and remote servers. Only people with secure login credentials can access the accounting system from the web browser making it as secure, if not more secure than conventional accounting software installed on individual systems.
Cloud accounting also called as online accounting system come with all the tools and features, integrations to simplify the accounting process while adding the ability to access remotely from any location with secure credentials.
Benefits of Cloud Accounting Services:
A cloud accounting system’s ability to access and streamline and process the accounting data to from any device anywhere with an internet opens ups a slew of possibilities and solve many problems that have been plaguing traditional on premise accounting system for years now.
Especially during the pandemic when remote working had become a norm, cloud accounting services have significantly changed the way businesses operate and manage their accounting and financial data. If you are a business that is still on the fence about the adoption of cloud accounting services then you will have to go through these following benefits of cloud accounting services before you make a decision:
Access to real-time data from anywhere 24/7:
Unlike the traditional accounting process, where you are practically tied to your office desktop to whether access, update, monitor or track the data, a cloud-based accounting system give you the freedom to perform all the accounting tasks from any location. Integrating your business bank accounts with all the cloud-based accounting helps you track all the expenses, sales, inventory, monitor outstanding invoices, account balances and overall cash position in real-time 24/7.
Makes collaboration easy for remote working:
Collaboration is paramount in accounting whether you are working with your accounting department or taking assistance from outsourced booking and accounting services. A streamlined and efficient accounting process calls for a free-flow collaboration between your accounting teams and the cloud accounting system makes it happen.
Given cloud accounting solutions come up with customized features that can limit access to a specific individual, your work-flow can be easily streamlined without any risks. With access to real-time data and financial information business owners and accounting team can collaborate, communicate and work remotely without any additional meetings and operational bottlenecks.
Easy on pocket – Saves time and money:
Cloud accounting solutions help you create automatic accounting workflows that can save loads of time. For example, you can set-up the system to send invoices, reminders or pay vendors before the due date.
Moreover, cloud accounting solutions require less initial infrastructure to perform the accounting function with no-reliance on IT staff to maintain or update the software. Given most cloud-accounting subscriptions are usage-based solutions, businesses can easily scale-up or down based on the usage without unnecessary spending. With fewer overhead expenses and maintenance, cloud accounting solutions prove to be of greater value for money while offering more benefits than on premise accounting solutions. All the factors considered, expensive accounting software and tools may not be practical for small and medium businesses, so to reap the benefits of technology for accounting cloud accounting solutions can be their best bet.
However, if you are a small and medium business already leveraging accounting solution but are looking for remote bookkeeping and accounting services then you can contact Outsourced Bookkeeping here: https://outsourcedbookeeping.com/