CLOUD VS. TRADITIONAL ACCOUNTING

kwilliamsbartlett
Jun 22, 2016
1 min read

What is cloud accounting?

Cloud accounting is hosted on a remote off-site server versus your desktop. All data is sent to, and processed in, "the cloud," and then returned to the user. This enables real-time reporting and mobility.

Cloud vs. traditional accounting

Cloud accounting is more advantages than traditional accounting for the following reasons:

Off-site – no storage required on-site
Centralized – one data file
Greater flexibility and sharing
Greater access – any device with internet connection
Automatic online software updates
Real time financial information updates and reports
Less maintenance
Automatic back ups and updates

What about security?

Cloud accounting is equally and sometimes even more secure.

Company computers with critical financial information could be lost or stolen whereas cloud accounting leaves no trace of financial data on company computers, and access to that data in the cloud is encrypted and password protected.

Cloud providers usually have backup servers in two or more locations. If one server network goes down, you still have access to your data wheras Information kept on-premises could be destroyed or damaged in a fire or natural disaster, and may never be recovered.