What it Means to Work in the Cloud and Why Your Business Can’t Do Without It

When you’re looking for ways to take your small business to the next level, taking a deep dive into the financials is an excellent place to start. Business owners who understand, or have someone who can help them understand, the company’s overall financial health are in a better position to make smart business decisions.

If you currently use a paper or hard-drive based system — in other words, if your business’s financials exist on just one computer — you could be limiting yourself without even realizing it.

An easy-to-use, cloud-based accounting software can help you work smarter and faster — and ultimately help you grow your business.

So…what’s the cloud again?

In just a few words, “cloud computing” is whenever you store and access files over the Internet instead of your computer’s hard drive. You actually use the cloud all the time without even realizing it. Web-based email, file storage, and online banking are all examples of working in the cloud.

When using a cloud-based accounting software, you can access it from any device with an Internet connection. Think of it like logging on to your favorite social network or online banking portal from your computer, tablet, or phone.

Sounds simple enough! So what can cloud accounting software do that my current solution can’t?

Your hard-drive based accounting software is probably limiting you in more ways than one:

  1. Limited access: you can only access your data from the one computer where the software is licensed. Sharing financial information with others on your team requires time-consuming exporting and sending via email or USB, and isn’t secure.
  2. Infrequent, costly updates: whenever there’s a bug in your accounting software, you may have to shell out cash to update it. This is time consuming and frustrating. Your accounting software should be working for you, not the other way around.
  3. Hard to back up: If you are backing up the data from your software, you know how challenging and tedious this process can be. And if you aren’t backing it up, we understand why. It might be hard to figure out how to do, or you simply don’t have the time. If something were to happen to the device where your information is stored…well, say goodbye to all of your financial records.
  4. Limited customer support: hard-drive based accounting software isn’t known for great customer service. And if you’re using a program like Excell for the financials, you are customer support!

Well, I’ve definitely encountered at least one of those challenges. But I hear a lot of about people getting their data stolen online. Having all of my sensitive financial information floating around makes me kind of nervous.

Cloud-based accounting software companies ensure that the security and privacy of their users, and their sensitive data, is always airtight. They use many of the same standards you’re already accustomed to with online banking.

On top of that, cloud software offers the added security of always having your back in the event of a natural disaster, theft, or when the one and only computer where information is stored goes kaput.

Another important benefit is being able to control the level of access granted to anyone you want to share data with. For example, you can allow partners or key stakeholders high level access while your accounts receivable or payable staff is permitted to only see what’s needed to accomplish their tasks.

Wow, it really does sound like cloud-based accounting is the way to go.

You got it! There are so many ways a simple, secure cloud software can change the way you do business – for the better. It can help you..

  • access a clear overview of the state of your business anytime, anywhere,
  • share the right data with the right people,
  • enjoy the ease of automatic updates so you’re software can grow with your business,
  • relax with the peace of mind that comes from knowing your data is always backed up and secure,
  • and save time and money with no recurring maintenance or admin costs

By partnering with cloud-based accounting software Xero, Xendoo offers small business owners real time accounting, business tax, payroll services and more — including a subscription to Xero at no additional cost!