7 Powerful Benefits of Cloud
by katejo · September 22, 2021
Before going straight to the simplifications that Cloud Accounting offers, let’s begin with the
root concerns. So, let’s understand what a ‘cloud’ is and what the problems in traditional
accounting management techniques are.
What do you call a “cloud”?
You must be familiar with internet banking, right? Thus, every time you make any transactions,
you use the cloud. So, what’s your mind telling you now? Transaction performed but no
hardware involved, no big machines involved, just you and your smartphone/tablet/PC. Just a
few taps and you’re all done!
Hence, basically, the cloud is a massive server over the internet that is accessible from anywhere,
any device. Now, this platform acts as your central hub. No involvement of your local hard drive.
Before the rise of the ‘cloud’, businesses used to store accounting records on desktop systems.
They used to manage the records either in spreadsheets or on‐premises applications. Also, a
dedicated team of professionals is appointed to perform day‐to‐day operations of bookkeeping,
transactions, bill payments, and invoice generation, etc.
As manual power is involved in order to execute the aforementioned operations, many tasks
remain undone and postponed to the end of the timeline. Whereas, merchants often prioritize
spending their greater time on clients than working on accounting and bookkeeping. And, lack
of revenue does not allow them to hire resources. This results in a scenario where a greater
workload is divided into lesser people. This poor management of resources and balance lead to
several ripple issues. Here’s a list of such common issues.
As there’s no cloud computing, nothing is synchronized.
No automation in record updates.
As management has to carry out via on‐premises accounting application, data is not
accessible by any distant workplace.