Running a small business means always having a lot on your plate and managing multiple tasks with limited resources and a watertight budget, becomes a headache for most of the small business owners. In such situations, the only way to move forward is to make smart decisions and choose economical solutions without compromising on the quality.
Among the various pillars of a business, financial management plays one of the most important roles as it is directly related to the soul of any business i.e. money. Without a proper financial management, the survival of any business becomes questionable. But when it comes to choosing a smart and economical solution for such a strong pillar of business, most of the small businesses prefer cloud accounting.
The introduction of the cloud has revolutionized many business functions and its rate of adoption and uses is increasing day by day. According to the Cloud vision 2020 survey of LogicMonitor, almost 83% of the business workload will be in the cloud by 2020.
Cloud accounting is simply using your accounting software in the cloud platform, mostly through hosting. In such cases, the small businesses choose a third party hosting provider and then they migrate the desktop installed accounting software to the cloud.
The main reason behind so much popularity of cloud accounting through hosting is its pocket-friendly pricing and money saving features. And therefore, in this blog post, we will be looking at the various ways through which you can save money by choosing the cloud accounting solution for your small business.
1. An economical solution
If you are thinking of saving money by choosing an advanced solution for managing your accounts, then nothing can be better than cloud accounting. Many people have this misconception that the cloud accounting solution is a money guzzler, but you need to know that you can buy the accounting software and host it on the cloud in even a very limited budget.
The average price for hosting your accounting software on the cloud is $40 only. So by choosing cloud accounting, you can enhance the productivity of your finance department without pouring too much money. You just have to choose the best hosting provider in the market, analyze their features, pricing structure, security measures and that’s it.
2. Eliminate IT staff requirement
Managing IT solutions of your business is not only hectic but also requires hiring a team of IT experts who can keep checking your IT solutions in order to maintain its seamless functionality. But as a small business, it becomes quite costly to hire a team of IT staffs as most of the startups have a budget crunch.
But when you opt for the cloud accounting solution by choosing a third-party hosting provider, then you don’t need to hire any IT staff as the third party hosting provider offers round the clock customer support without any extra cost.
The technical support team comprises of IT experts who are well versed in solving problems and responding to queries. The round the clock customer support comes as an inbuilt feature with your hosting package.
3. Save cost on building your own server
The most traditional way of putting your accounting software on the cloud platform is by building your own server and it turns into a money guzzler for small businesses. But the introduction and popularity of the third party hosting provider has allowed even the small businesses to use their accounting software on the cloud.
Developing an IT infrastructure is a costly affair and it isn’t a feasible option for small businesses. But the third party hosting solution in the form of cloud accounting doesn’t require any IT infrastructure from your side as your accounting software is hosted on the cloud servers of your cloud provider. After hosting, the user just needs to access the hosted server by using his login credentials and that’s it.
4. No need to hire accountants
Most of the accounting software solutions are quite easy to learn and after hosting it on the cloud, most of the business owners don’t feel like hiring an expert accountant or contacting any tax expert during the tax season. With anywhere, anytime access, the small business owners are able to work on their books even while on the go and that’s what makes them confident to manage the books of their business on their own.
With QuickBooks hosting by their side, small business owners are able to work more effectively while saving time and money invested in hiring accounting experts.
5. Paperless accounting
Those days are long gone when a huge portion of the budget was invested in pens and papers, especially for the accounting department. Such practice doesn’t only require a portion of the budget, but managing huge piles of papers is also a tedious task.
Now with the help of advanced solutions like cloud accounting, businesses are now moving towards paperless accounting. This is also helping them in becoming a part of a Green revolution where minimal usage of papers is promoted. So in addition to saving money on papers, you will also be contributing towards the betterment of the environment.
6. Wipe out the need for a backup system
Maintaining the backup of your financial data on your own is not only a tedious process, but it also acts as expenditure for the company. But if you are going to choose the cloud accounting solution, then you don’t have to worry about backup as most of the cloud hosting providers offer fortnightly data backup. They make a backup of your data at different locations and that’s how they ensure complete data security and a strong disaster recovery plan as well.
Cloud accounting is not only an advanced accounting solution, but it is also a great tool to minimize the expenses of the company. As a small business owner, you must opt for the cloud accounting solution as it will help you in leading the tough race of competition without pouring a lot of money.
Saurabh Gupta is the technical content writer at MyQbHost, a QuickBooks cloud hosting company. His area of expertise includes cloud computing, cloud accounting, software, and cybersecurity. In his free time, he loves exploring the world of technology and software.