COVID-19 and the Benefits of Cloud Accounting

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As the world went into lockdown earlier in the year, restrictions forced businesses to look at the way they work, improve processes and monitor finances. This is where cloud accounting software has been a blessing to businesses across the globe. As well as the clear benefits of cloud accounting such as being able to save time and have the information you need at your fingertips, the COVID-19 pandemic has shone a light on a range of its other benefits.

Why Make the Switch from Traditional Accounting Software?

In the current climate, flexibility is the number one reason to switch from your traditional accounting software to cloud based accounts receivable software. The likes of Quickbooks, Xero and Sage are accessible from a wide range of devices whether you and your workforce are working from home, the office or on the road.

The ability to access your financial information remotely with ease is a huge benefit and accessing that information in real-time is invaluable when your workforce is spread out and need the most up to date information. Traditional accounting software requires manual updating and data entry which can often result in more errors in reporting.

Alongside manual updates, the traditional software requires hardware purchases, software and licensing costs as well as maintenance fees. This means that it is costly to set up and can often be expensive to maintain. Cloud accounting does not require huge amounts of server space; it doesn’t need to be manually updated and has minimal set-up cost involved. Most cloud accounting packages are paid for monthly with the cost reflecting your organisation’s size or structure. Then each individual that needs access has their unique login to access the cloud-based software wherever they have an internet connection.

Is Cloud Accounting Safe and Secure?

Of course, the primary concern of business owners is security and with the increase in remote working came the increase in cyber attacks. Ensuring your data is safe is understandably paramount but rest assured, with encrypted data and password protection, your data is as secure as it can be. Whether you choose platforms like Radware (see more here:https://www.radware.com/solutions/application-delivery/) or any other, security is always at the forefront of cloud computing’s design process.

In a new world of avoiding touchpoints and cross-contamination, cloud accounting is perfectly paperless! Sharing data is quick and easy; users can access the same information in real-time using their unique login credentials omitting the need to store it on flash drives or send it via email.

How to Make the Switch

Cloud Accounting has been around for a while now, and you can take a look at reviews for major players such as Xero and Sage. If you’re concerned about the switch, many accountancy firms have specialists that can help your business get set up and even provide training to ensure that you are utilising all of the benefits that come with switching from your traditional onsite accounting.

Byline:

Gavin Hooker is the cloud champion at Friend & Grant. He is also a Chartered Certified Accountant. Gavin has developed a detailed knowledge of Xero and Quickbooks and enjoys finding cloud solutions for businesses. Gavin provides cloud training and installs cloud solutions to a raft of small businesses.

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