What is Cloud Accounting?

What is cloud accounting? Cloud accounting is a popular software that helps manage financial record-keeping and other important accountant and bookkeeping duties.

Compared to traditional methods of accounting, cloud accounting solutions are taking the lead – but why? Cloud software offers some great advantages, helping numerous businesses, big and small. To learn more about cloud accounting and its benefits, continue reading.

Understanding Cloud Accounting

Cloud accounting is a modern approach to traditional accounting systems that allows you to perform important financial tasks. By using a cloud accounting system, you’ll have round-the-clock access to key financial information, as long as you have an internet connection.

Cloud accounting systems create more streamlined business processes. Undoubtedly, financial administration can become complex to manage, especially if you’re a company operating on a larger scale, so considering the switch to cloud accounting is vital.

Cloud-based accounting systems are there to simplify the financial side of your business. You’ll have access to financial data in real-time, allowing you to keep track of important information. Cloud accounting lets you complete a range of tasks, including some of the following:

• Bookkeeping and general financial record-keeping
• Expense tracking
• Financial reporting
• Reconciliation
• Managing invoice

Online accounting software helps your business thrive by simplifying lengthy tasks. Speeding up your manual work, cloud accounting allows you to focus on other important aspects of your business.

It’s beneficial to have access to your business numbers at all times – something regular desktop accounting doesn’t offer. As technology moves forward, more businesses are choosing such systems, like cloud accounting (and it’s clear why).

As soon as you log in to your cloud accounting platform, you won’t have to worry about time-consuming or expensive updates.

Cloud accounting is always updated, meaning you have constant access to the latest versions without having to do anything. This key feature is most advantageous for businesses that need time to work on other important tasks.

Additionally, cloud accounting lets you work alongside your trusted accountant – you’ll both have access to your accounts, saving time on either side by avoiding back-and-forth emails or phone calls.

Traditional Accounting Software vs Cloud Accounting Software

There are several key differences between traditional desktop accounting systems and cloud accounting. Let’s take a look at what sets the two apart and why cloud accounting is typically used more often.

Traditional Accounting

Traditional accounting software is limited to the computer where it has been installed. For many modern companies, this causes some issues, especially with some businesses encouraging remote work. With more traditional accounting methods, enhanced security is unlikely.

Updates will need to be done manually when it comes to updating traditional software, which can prove time-consuming each time. A key part of any business is communication and collaboration. Traditional accounting doesn’t allow for much collaboration, restricting team members and preventing multiple people from working together in real-time.

When it comes to choosing your next software, it’s important to choose one that’s cost-effective. Traditional accounting software is often unreasonable in price, considering some of the drawbacks that come with using it.

Cloud Accounting

Switching to a cloud accounting solution from traditional software comes with many key advantages. You’ll have quick access to your business’s financial data as and when you need it. Data in cloud software is up-to-date, making work easier to complete.

A key difference between cloud and traditional accounting software is flexibility. Cloud accounting offers flexible plans, allowing businesses of all sizes to choose which services suit them most.

Not only this, but cloud accounting uses secure data to prevent losing your data while securing your client’s private financial information.

In comparison to traditional software, cloud accounting offers potentially lower costs overall. According to a report by Xero, 75% of cloud users have seen an increase in profit, compared to 54% for non-cloud users.

The bottom line is that using efficient and cost-saving online accounting solutions, such as cloud accounting systems, will be more beneficial for your business.

Key Benefits of Cloud Accounting

There are numerous benefits to using cloud accounting. Cloud accounting has helped companies across the globe and offers many advantages. The main benefits of cloud-based accounting include:

• Access to key information in real-time
• Access to accounts anywhere
• Up-to-date technology
• Ability to connect to your business bank accounts
• Enhanced data security
• Cost-effective
• Reduced paperwork
• Better control of financial processes
• Increased collaboration
• Fewer administrative tasks
• Ensures compliance
• Scalability

Regardless of your company’s size, cloud accounting software will provide some great advantages. It allows for easy collaboration between different parties – including yourself, team members within your business, accountants, and financial advisers, to name a few.

Cloud Accounting With DH Business Support

At DH Business Support, we believe that the right tools should be used to ensure success in your business. We offer cloud accounting services to clients, helping businesses across the UK revolutionise their finances.

By using our cloud accounting solutions, you can say goodbye to traditional spreadsheets and say hello to a modern, streamlined accounting alternative. Our trusted team will guide you through cloud accounting, remaining on hand to provide you with any information that you require.

Transitioning to cloud accounting comes with many perks – helping businesses simplify their financial processes. Cloud accounting offers scalability, allowing you to easily adapt as your business continues to grow. Our expert services are suitable for all business types. As your trusted cloud accounting providers, we offer:

• Cloud accounting software setup
• Accountancy services
• Bookkeeping services
• Financial reports and analysis
• Payroll management

Among these services, we will also manage your accounts, ensure compliance with tax regulations, and offer support and guidance when needed. So, if you’re looking to simplify your accounting methods, increase collaboration, and seamlessly transition to new software, look no further than DH Business Support.

We tailor our services to suit the needs of each individual business. We understand that each company is different, and our experience working with a diverse range of clientele allows us to offer such services at the highest standard.

To find out more about our cloud accounting services, please don’t hesitate to get in touch today. We look forward to hearing from you.