Benefits of Adopting Cloud Technology for Accounting Firms

‘’Cloud Computing’’ could be akin to a tech buzzword that has been around for years. However, unless they have been living under a digital rock, accounting firms will be aware that cloud computing has finally moved from just another buzzword to a real tool for businesses.

According to a report by Intuit, almost 80 percent of U.S. small businesses will be fully adapted to cloud computing by 2020 with an increasing number of respondents currently using it or planning to within the next two years.

Despite this noteworthy migration to the cloud, many accountants remain reliant on traditional, PC-based accounting systems. In 2015, Softwareadvice.com found that 43 percent of small business owners were still using on-premise accounting software. On the other hand, the same survey revealed that the number of small firms using a cloud-based accounting platform had nearly doubled from 2014 to 2016.

These findings point to the fact that the preferred work platform for accountants and bookkeepers will be cloud-based technology.

Although PC-based accounting has undeniably made life easier for keeping and processing business financial records, the benefits of cloud-based accounting explained in this article far outweigh what PC based accounting offers.

1. Hosted Cloud Offers Greater Work Flexibility

   PC-based accounting requires firms to host their own servers in-house which significantly increase the cost of maintenance as well as upgrades, which is not the case for cloud-based computing.

   Accountants can work literally from anywhere with accounting software hosted in the cloud, saving businesses money while increasing work output.

   With cloud-based information easily accessed through PCs, iPads, iPhones or any other mobile device, no matter where you are, accounting firms may not need to have their own servers for business.

2. Convenience and Improved Productivity

   With cloud-based accounting, accountants can work remotely, accessing their books from anywhere, at any time, and on any device, provided there is a fast and reliable internet connection. This offers accountants the flexibility to work from the office, home or even on a job site.

   The core benefit of this feature is that you can remain connected to your data from anywhere in the world, at any time, while staying connected to your clients for feedback.
   Since there is perfect synchronisation between PC’s, tablets and phones, accountants can easily work between locations on their preferred devices. This synchronicity also allows users to work and collaborate simultaneously, increasing efficiency among accountants and their clients using cloud-based accounting.

   This benefit eliminates the need to exchange files and duplicate efforts.

3. Use AI to Automate and Streamline Tasks

   With automation and AI becoming a mainstay in how businesses run, there is a shift in the role accountants play in working with their clients. With Google predicting AI to match human intelligence by 2029, only tech-savvy accountants riding this new wave of developing revolutionary technology will thrive, future-proofing their practice against going the way of the dinosaur.

   This shift to AI engineered cloud accounting solutions will make it easier than ever for accounting firms to manage accounting and bookkeeping tasks with greater efficiency than thought possible in times past, shaping the future of business operations.

4. Cost-Effectiveness Leading to More Savings

   One of the main benefits of cloud computing technology is the costs it cuts for your practice. With cloud computing, there are no initial fees, installation costs, or expensive software and hardware equipment and servers to buy. This also saves on office space.

   As online models increasingly become the preferred choice for an efficient and more profitable means of distribution, prudent accounting firms are diverting the majority of their operations away from on-premise PC-based software to cloud-based SAS platforms.

   Today, accountants can sign up and subscribe to their preferred cloud-based accounting and bookkeeping solutions provider, cutting IT costs at the same time.

5. Private Cloud Offers Superior Security and Control

   Taking advantage of cloud technology’s excellent cybersecurity features will put you ahead of other accountants who are still using PC based accounting software. Most bookkeepers do not realise that the private cloud is much more secure than their premise-based servers and network configurations.

   As latest cloud computing trends indicate an increase in the adoption of private cloud technology, today’s consumers expect access to their business processes and data from anywhere. Clients have even higher expectations of accountants and bookkeepers to provide instant access to all relevant information and perform ad hoc calculations and projections on site.

   These state-of-the-art centres employ best practices in cyber technology, like the use of multi-factor authentication, secure hard-to-figure passwords to further protect your client data.

6. Enabling Increased Collaboration

   With an efficient cloud-based accounting provider in your arsenal, you will become the go-to accountant firm for customers and colleagues for collective work. Unlike traditional PC-based accounting software installed only on a single auditor’s computer limiting its use, new cloud-based features allow multiple users to access real-time data about the company's financial status simultaneously.

   As cloud accounting applications become more mainstream, a switch to cloud-based accounting will save you time, simplify your record-keeping, and increase the accuracy of your records, making you the ideal choice for clients seeking competent bookkeepers and accountants.

7. Backup and Disaster Recovery Capabilities

   You will develop a reputation as one of the safest accountants/bookkeepers to work with as clients come to trust their financial data with you as you always back up and secure your files in the more secure cloud. One of the costs incurred by customers who are premise-based is backing up their data on their own servers or by third-party backup providers.

   With your accounting and bookkeeping operations cloud-based, this is an area you will have covered as providers have extra backup systems so that your data is replicated in several data centres in case of data loss.

   Being in the cloud means fear of data loss is non-existent as all your information is safe and secure off-site

Conclusion

For accounting professionals looking to improve efficiency in their practice, cloud computing offers an ideal solution that’s easy to use, significantly reduces time-consuming processes, and boosts your reputation as one to work with.

HTL Support will work with you to make sure you can use all your software on our systems without interruption to your business; and only upon your satisfaction, will we proceed with a complete migration.

Contact us today to find out more about how our cloud solutions can solve technology issues for your accountancy firm.