Let’s face it, it is rather safer to stay within your comfort zone than tread upon an unfamiliar territory. After all, old habit dies hard. However, technology constantly evolves and the first thing that comes to mind when talking about it is cloud. Although using cloud-based software is an innovative way to handle your bookkeeping and accounting tasks, it is still frowned upon by traditional bookkeepers for fear of becoming a hapless victim of new technology. While there are enthusiasts who are drawn to new approach, making the switch may require more than just changing technology, it should start with changing mindset. Here are some common cloud accounting myths debunked.
It is necessary for every business owner to ensure that classified information is stored safely. Some say that cloud makes data prone to breaches and attacks because it is online. The first thing you have to keep in mind to avoid security threats is to check the cloud service provider’s options and features. No two cloud accounting services are created equal so you need to take your time in searching for the service which has increased level of security.
Due to the proliferation of cloud technology, many skeptics dub it as marketing hype. If you are going to check the benefits of cloud accounting, you will realise that it has indeed lived up to its hype. With its ability to store and integrate data, it becomes a valuable collaborative tool for increasing productivity and reducing manual tasks. If you to gain an accurate overview of your cashflow, you can always rely on cloud-based accounting software to update your information. Many business owners are already investing a vast amount of money in order to improve their cloud infrastructure because of its long term benefits.
Cloud accounting is not specifically designed for storing information because it can also provide a different approach to collaboration. In the past, it seems challenging to retrieve information critical to decision-making if you rely on spreadsheets. You are not 100% confident that the data you obtained guarantees accuracy. Anything that is stored in the cloud infrastructure can be updated regardless of your location. Even if you decide to check your financial data in the middle of the night, time is not going to be an issue. It saves you from being chained to your desk to manage a bookkeeping or accounting task.
Peter Broberg is a bookkeeping professional with over 20 years experience in the finance sector. With more than 2 decades of experience, Peter provides payroll and bookkeeping services on a professional level. His services cater to small and medium enterprises in Cannington, Kalamunda.