Digital accounting is fast becoming a huge trend amongst small businesses and it has to be said that it is a great way to keep on top of your bookkeeping and accounts, being so quick and efficient. I have yet to come across any business that hasn’t reaped the benefit of taking things digital but small businesses are then faced with the dilemma of whether to turn to the cloud or for simple accounting software kept on their own computers.
Although taking things online may seem like a good idea at first, more often it is the case that for the purpose of small businesses, simple software makes a lot more sense. So before you decide, take a look at these main issues faced with cloud accounting for complete transparency when it comes to your all important data.
Safety
When your data is stored on the cloud, you have far less control of it. Any cloud accounting program leaves all your important information floating around in the internet ether, and it will also be stored anywhere around the world. Online accounting means you have no control over the risk factor of other people being able to access your books so is a less safe option than in house simple accounting software. You have to rely on your service provider for security, so if you do not like the idea of things being out of your hands, online bookkeeping may not be for you.
Accessibility
Cloud accounting requires an internet connection at all times which will limit where you can gain access to your files. If your internet connection is frequently lost this can cause many problems for your business when trying to update or access any figures, as for a good working system, you are completely reliant on your Wifi connection.
With cloud accounting you have to enter into a contract and keep your subscription up to date to access your files. Simple accounting software on the other hand is a small initial expense with an even lower annual retainer. If you are debating whether to choose the cloud or simple accounting software, be sure to compare the long term cost, as the price of cloud accounting can grow rapidly over the long term.
Storage and Backup
Many cloud accounting systems do not allow you to back up your data and save it to your own device. For small businesses, keeping a long term record is a must, and internet bookkeeping may require you to continue paying a full subscription even if your businesses closes, for years to come. Simple accounting software on the other hand leaves all of your data at your disposal, inclusive in the upfront cost.
Support
Cloud based accounting systems often lack customer support and helpful service is a low priority. Simple accounting software on the other hand has built in directions and support as well as the added benefit of having been made specifically with small business owner use in mind. Accounting software stored on your own computer is often more user friendly, and there is a 24 hour turnover of email support for any major problems you may face when updating your accounts.
Discover More
If you would like to know more about the advantages of in-house simple accounting software and how it may be better suited to your small business than cloud accounting, download Cash Manager’s comprehensive and complimentary guide: Choosing a Small Business Accounting System today. Simply fill in your details on the right. Or to jump straight in and download our simple accounting software, click here.
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