3 Benefits of Cloud-Based Accounting Tools for Small-Business Owners


Entrepreneurs open small businesses to provide personalized, focused customer service with products that may be unique to a specific marketplace. This takes a lot of time and effort to maintain. Having to split time between bookkeeping and operational chores can become a real problem for many of these small business owners. Luckily there are alternatives to accounting that can address the time commitment required and keep these entrepreneurs doing what they wanted to do in the first place – focus on running their businesses.

Software providers are already slowly pushing small business to use the cloud simply by eliminating the production of desktop solutions. Other software developers are discontinuing support on older versions of their products and not updating with follow-up desktop versions. This is a signal for most small business owners to start shifting their data to the cloud as there won’t likely be the problem of discontinued products filling space there. By encouraging small businesses to utilize cloud-based applications, there are many benefits.

Cloud-based accounting software has really changed the landscape helping small businesses to reduce the cost of bookkeeping service through the use of these new tools. In fact, the popularity of cloud-based products continues to be supported by an ongoing expansion of the organizational tools that are being developed just for this purpose. You could say it’s a pretty good time in the growing age of technology to be a small business owner. In this article we will explore the three main benefits to small business use of these cloud-based accounting tools.

1. – A Larger Selection of Secure Apps

When you are looking for accounting tools, security is always an important factor to consider. As it turns out, cloud-based applications (QuickBook Online, as an example) are extremely useful in this platform. That’s because cloud-based apps will allow you to access your accounting data from any device and will permit integration with other cloud-based tools. In other words, everything you store on the cloud you can connect with anywhere you need to with whatever device you have available and if you need to move some data to another app in the cloud, it can be done. Plus, all of this is completely secure and reduces time spent making multiple entries.

2.Connections Are Easy To Maintain

Small businesses rely heavily on the relationships they create with various vendors and distributors. In fact, it is often through these connections that many small business owners are able to get ahead without piles of red tape slowing things down. With cloud-based tools in place, being able to instantly access invoicing data – especially when questioned on the status of a specific order – keeps everyone happy. The ability to locate outstanding or paid bills will not only improve those relationships, it may actually enhance them with the speed in which the queries were handled. This is far quicker than sorting through a box of invoices manually.

3.Increases Productivity Within The Workforce

Because cloud-based apps can be accessed from anywhere this makes keeping all staff members up to speed on billing and invoicing far easier than any other method known to mankind. It enables all departments the ability to input whatever they need to and keep all data balanced. For example, sales reps travelling on the road can submit expense receipts while in their hotel room or can update sales information. Inventory control is also simplified a great deal with the implementation of cloud-based accounting tools. The bottom line is that using such technology will streamline any small business which will improve productivity for all involved.

So, What Exactly Is The Cloud?

This is a virtually location where data is stored and can be accessed by anyone who can connect to it. However, the security of the cloud comes from the fact that in order to access and use the offerings of the cloud, you have to subscribe to the service. But once you add a subscription, the segment of the cloud your business ‘rents’ will become available to visit, upload to and download from for everyone in your business you provide access to. So while you have a level of control over who you give access to, once permitted access, the cloud can store a lot of data.

The Take Away For Small Business

It is difficult enough to operate a small business in today’s world to have to juggle daily operational tasks with keeping up on accounting matters. Thanks to the creation of the cloud, it provides sensible solutions to entrepreneurs who are busy trying to establish their businesses. Cloud-based apps won’t expire or require replacement as existing desktop software will. Plus, software manufacturers are leading the move to cloud-based accounting tools by not supporting older versions of their products which will eventually force everyone to the cloud.

Having to make the switch now will prevent many headaches further down the line when desktop software is no longer relevant and accounting chores still need to be completed in order to satisfy the relationship built between small businesses and vendors. The ease with which the cloud can be used and accessed makes it a sensible move into the future. If you are a small business entrepreneur, you can benefit greatly by making the move to more secure and regularly updated cloud-based accounting tools. By taking advantage of these tools, you get to return to your primary business focus – customer service with that personalized touch. The cloud is no longer the wave of the future – it’s what’s happening now.