Navigating Covid-19 with cloud accounting
The Covid-19 pandemic has forced many business owners to rethink their business models and the way their accounting function is structured. Pre-covid-19, many business owners are reluctant to switch from traditional accounting to cloud accounting. They do not see the benefits that digital transformation can bring to their businesses. With both employees and customers working from home now due to the pandemic, it is no longer effective for companies to maintain the traditional accounting model.
Many are considering switching from traditional accounting to cloud accounting; they are hesitant because they are unsure what this change entails. In this post, we provide information on the key differences between cloud accounting and traditional accounting, and how moving to cloud accounting can help you better navigate the pandemic.
What is traditional accounting software?
In traditional accounting, the accounting software and financial data are stored in a dedicated hard drive. The user assesses this information through a desktop application that cannot be assessed through another device or network.
What is cloud accounting software?
Cloud accounting software serves the same function as traditional accounting software. The key difference is that cloud accounting is hosted on servers that are assessed over the internet. The user assesses the financial information through a web-based interface instead of a desktop application.
Key benefits of cloud accounting
Assess real time information from any device and location to make better and faster business decisions
Share key financial information in a timely manner with business partners, employees, and accountants in different locations
Eliminates manual data entry and human error as bank feeds automatically import bank statements into the system
Manage cash flow better by monitoring real time information regarding collection of accounts receivables and payments to suppliers
Is cloud accounting right for you?
Many business owners are concerned about security when it comes to cloud accounting. We are proud to be a Xero Partner who is certified as compliant with ISO/IEC 27001:2013; they have developed and implemented a robust security management program, including a comprehensive Information Security Management System (ISMS). Read more here.
If you have any queries on cloud accounting, feel free to drop us a message or email us and let us know how we can assist you. Our general response time is one business day.
