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The Benefits of Cloud Accounting Explained

October 19, 2017 Benefits of Cloud Accounting

Cloud-based services have been rapidly growing in popularity the past couple of years, with businesses of all types taking advantage of the many benefits cloud platforms can offer. In financial management, these advantages are apparent in the increased efficiency and security cloud accounting software can provide.

Here are five ways cloud accounting can benefit your business.

Easy access

Cloud-based accountancy software gives clients instant, easy access to their financial information. Available anywhere you have an internet connection, on any device, cloud accounting platforms are user-friendly and present data in ways which are easy to digest.

Imagine you are out at a meeting and want to consult your accounts, whether to check a figure or before you commit to an arrangement. Instead of having to delay things while you book a consultation with your accountant, you can instantly access all the information you need there and then, and make informed business decisions far more efficiently.

Security

Of course, having your business’s financial information kept secure is crucial. Contrary to opinion, cloud platforms are actually more likely to improve the security of your accounts than make them vulnerable to prying eyes.

Hosted cloud accountancy services are run by specialist professionals who prioritise data security and use state-of-the-art servers designed to ward off hackers and snoopers. As well as encrypting all data in transit, they also use highly redundant data centres which will guarantee back-up in the case of a system failure. If, for any reason, your computer system breaks down, your accounting and bookkeeping information will remain safe and easily accessible on a secure server in the cloud.

Efficiency

For clients, cloud-based accounting systems can transform the efficiency of bookkeeping and financial management. Instead of having to wait to see your accountant in person to go over your books, all parties can access the information they need via a secure log in and have a discussion any time and place.

Clients can receive real-time updates on their financial circumstances and can evaluate changes and improvements that need to be made as frequently as needed.

With easy integration of all your financial accounts, the time savings that can be made on accessing and evaluating data are huge. Financial reports for meetings and day-to-day business can be generated at the touch of a button as you go, adapting to what you need, when you need it.

Set up

Cloud accounting is extremely easy to set up. Hosted by a third party, no software needs to be installed and configured, and you don’t even need your own IT team to set it up – everything is handled by the service provider, saving time and resources.

Cost effective

Finally, cloud technology is a far more cost-effective option compared to buying and installing your own accountancy software package. The initial cost of setting up in the cloud is negligible, and monthly service charges mean you can consider the platform an operational overhead rather than a capital cost.

At Kay Johnson Gee, we use the cloud-based software platform KashFlow. It has allowed us to develop strong relationships with our clients, providing the ability to access instant updates to your financial portfolio from anywhere in the world.

Check out our introduction to KashFlow here and discover how to sign up for a free trial.