Cloud-based accounting software is basically the same as traditional accounting software in general. The difference, cloud accounting software uses remote server hosting. The way it works is simple, the user enters data into the “cloud”, and the data will be processed and displayed again to the user cloud bookkeeping. All processes can only be done online. Just like the cloud, the nature of using cloud accounting software is very light and can be used in a variety of gadgets anytime and anywhere. That’s why a smart business owner will definitely hire a trustworthy cloud bookkeeper and accountant to manage their finance easily with a lot of flexibility.
Users also do not mess around with installing or managing permanent software in only one gadget. By using cloud accounting software, users can control the performance and financial reports of several departments or branch offices. By using cloud accounting software, users can also enter data and find out real-time financial reports from various departments and branch offices.
There are some fundamental differences between cloud accounting software and traditional accounting software. First, cloud accounting software is more flexible. By using cloud accounting software, accounting data can be accessed anytime and anywhere if there is an internet connection. Second, cloud accounting software can update and report accounting data in realtime just after the data is entered. Third, for companies, using cloud accounting software will reduce the cost of software upgrades every time a new version of the software is released. The company simply subscribes to hosting and pays only once every certain period. This fee includes maintenance, update and upgrade features.
Cloud accounting software provides the same security system, even better than the security system that is owned by traditional accounting software. Using traditional accounting software carries the risk of data loss or damage if the device or gadget installed is damaged. The possibility of stolen data may also occur if your computer is stolen or hijacked by someone else. However, if you use cloud accounting software your data will be safe because it is stored in the cloud system. Access to enter the cloud system is locked with a password set by the user. Thus the data will be safer.