In recent years, the number of businesses that have chosen to adopt cloud accounting software has seen a major increase. Our infographic looks at the reasons behind this adoption and why more business are looking towards cloud accounting software as their future choice for both accounting and financial management.
A recent survey has shown that cloud accounting leads to increases in production, costs savings and customer satisfaction. Out of those who were surveyed, 92 percent stated that they are entirely happy with their cloud-based services. Not only is cloud accounting user friendly, it also helps to streamline account processes that can lead to savings and big cost reductions. This is supported by a further 33 percent of companies that believe cloud accounting has allowed them to purchase fewer infrastructures, reduce infrastructure configuration and save costs.
Challenges facing Cloud Accounting
Cloud accounting may have its benefits but it is not without its challenges. Out of those surveyed, 46 percent of SME’s feel that insufficient knowledge has stopped them from adopting cloud-based services, followed closely by security, reliability and privacy worries.
Of course, while these may be valid concerns, they are just concerns, with most cloud accounting platforms having already solved these issues. Over time, we should most if not all SME’s migrate over to cloud based accounting systems but as with everything, there will always be late adopters.
Top 5 reasons to adopt cloud accounting in 2014
- Increased security
- Improved data accuracy
- Access anywhere anytime
- Reduce costs
- Easy and Instant communication with your accountant
With all of your information saved on the cloud and regular backups, you never have to worry about loosing your data or performing your own regular backups, saving you both time and money.
Improved data accuracy
Cloud accounting software can locate errors and download real-time data which removes the need for data entry process which again can be time consuming, prone to error and expensive.
Access anywhere anytime
All features, functions and figures from account balances to outstanding invoices can be accessed securely, 24 hours a day, 7 days a week, from any web based device, removing the need for a traditional system.
Cloud accounting software can be installed for free and paid for on a monthly basis with no additional costs for upgrades. You only pay for what you use, making it a popular choice for both start-ups and SME’s.
Easy and Instant communication with your accountant
Cloud accounting allows both you and your accountant to share information and work on accounts at the same time, which can lead to improved communications and better business decisions.