Cloud accounting

Cloud Accounting – top 5 benefits

4 min read

If there’s one thing small business owners hate most, it’s paperwork. And there can be a lot of it. But does it need to be that way? Many of your clients and fellow small businesses probably already conduct much of their business in the cloud. Maybe you do too.

To put it simply, “in the cloud” just means online. As well as trading online, many people do their accounting online as well. In fact, according to Accountancy Age, 18% of UK accounting firms say nearly all their clients are online.

And that number is rising rapidly.

How does cloud accounting work?

It’s quite simple. Instead of traditional accountancy software (that sits on the shelf in a box), the software is all online. All you need is an Internet connection and a subscription – no more foraging around for updates and backups.

Accountants prefer the cloud

As a result of Making Tax Digital, more and more accountants are using and recommending that their clients use cloud accounting.

If you’re still unsure, here are 5 reasons why you should switch to cloud accounting solutions.

1. Efficiency

The Firm of the Future is more efficient and earns more for less work. That sounds great, but how do you achieve this?

It’s all about efficiency. With cloud accounting, you eliminate all the errors and streamline your processes. Financial data passes automatically from your bank account (as well as other sources) into the software. This is then accessible by your accountant.

You can even set the software up to keep track of your invoices and pay them directly, when you want.

Along the way, the software provides powerful tools to process your financial data. So you’ll save a lot of time, not to mention stress.

2. All in one place

Imagine being able to access all your business’s data all at once, from a single dashboard. With this kind of overview, it’s much easier to make informed business decisions.

Cloud accounting solutions offer all kinds of options applications, which automatically process the data for you. From cashflow, to profit and loss, or tax calculations for HMRC, it’s all there. You can access your month-to-date information at the press of a button, enabling you to compare it with past months. This give you a good indication of your business performance, really easily.

3. Secure sharing

If you’re worried about the security of your data, accounting in the cloud is actually safer and more secure than traditional accounting methods. You can’t “lose” your data if your laptop gets stolen, or is infected with a virus. If your data is online, you can dictate who has access and to what extent.

Cloud based accounting solutions like QuickBooks facilitate safe, secure and instantaneous data transfer between colleagues and clients. There’s no need to send files or reports to anyone via email as it’s all there, in the cloud. Accountants, bookkeepers and business owners can all easily access the same files via a secure cloud based environment.

Not only is your data safe, you can rest assured that everything is continuously kept up-to-date. Backups are a thing of the past.

4. Flexibility

With a cloud accounting solution like QuickBooks you can access data from anywhere, on any device - you just need an internet connection. You can access all your work files from your mobile device, even if you’re at home, on holiday or travelling to work.

So you’re free to work from wherever you want - sending invoices and updating files on the move from your smartphone or tablet.

5. Economics

Cloud accounting is much easier and cheaper than you might think.

QuickBooks works on a subscription basis, so you only pay a monthly fee which pays for itself quickly in terms of time saved. Buying a permanent software solution outright is much more expensive and installation is often complicated too. Changing to cloud accounting solution quickly translates into increased profits.

Why not try it for yourself? You can begin a 30-day free trial of QuickBooks today. You’ll soon see what you’ve been missing out on.

We hope you found this article useful. At QuickBooks we provide solutions to automate your processes and eliminate costly errors, making sure you stay on top of your accounts. Try QuickBooks Online for yourself, free for 30-days, and see how you can save.

Discover QuickBooks online accounting today

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