Accounting and bookkeeping records have to be stored somewhere. Keeping everything on paper has long since become outdated: It’s cumbersome, expensive and risky, since records are vulnerable to damage, destruction, or theft.
Businesses can store these records on a local server. But even that server can be vulnerable to localized hazards like floods, fires, theft, vandalism, or – perhaps most commonly – a simple hard drive crash.
That’s why millions of businesses of all sizes around the world are migrating their financial data storage to the Cloud.
What is Cloud Computing?
The term “Cloud” in this context refers to a series of secure offsite servers in a distributed network, spread across multiple locations around the world. Information uploaded to the Cloud is instantly and automatically backed up in all locations in the network. A computer failure, power failure, or disaster in any one location – or even multiple locations – cannot destroy the data that has been uploaded to the Cloud.
Thanks to advances in computer technology and design, computer storage in the cloud has become incredibly affordable, allowing even the smallest businesses operating on a shoestring budget the ability to scale up rapidly without breaking the budget.
Cloud computing technology helps small businesses reduce expenses in the following ways:
- Reduced staff. Businesses no longer have to pay expensive server administrators and sysadmins to work on-site to maintain and upgrade company servers.
- Reduced hardware expenses. A full switch from local storage to cloud-based computing means lower direct investment in computers, routers, power supplies, cables, and software upgrades. Everything is included in your cloud storage agreement. But since you’re sharing your cloud server with many other businesses, that cost is spread across all other businesses on the network. It’s much more efficient than buying a new server for your own business every few years, upgrading to the latest software, etc.
- Reduced energy consumption. Continuously-running computer servers use a lot of electricity – both directly and indirectly, as any heat they put out often has to be counteracted by air conditioning, further increasing utility costs.
Improved continuity and resiliency.
Storing critical business records in the Cloud makes it much easier to pick up the pieces and carry on after a natural disaster, power failure, or other setback. Indeed, if you have a functioning internet device, whether a battery-powered laptop or even a cell phone, you needn’t experience a data interruption at all.
Cloud-based computing is now an integral part of business continuity planning. It also helps increase the value of your business, as buyers who do their due diligence want to know that you’ve done adequate planning for a variety of contingencies.
With cloud-based computing, it’s easy to rapidly ramp up or ramp down capacity depending on business needs. You won’t be hampered by inadequate drive space on your local server. You won’t be slowed down by the need to install more RAM into your local server or upgrade your hardware or software.
With Cloud-based computing, business owners no longer have to worry about upgrading to the latest version of their accounting software or operating system. It’s easy to handle the entire process over the Web. That saves both time and money – and improves security as well. The server company handles all the upgrades, patches, and known security hazards. Many companies have had severe data breaches because of a failure to keep computer systems up to date with the latest security patches.
When businesses migrate to the Cloud, records moved offsite to Cloud servers become more accessible, not less. Executives and other personnel can access all documents uploaded to the Cloud with ease on any device, anywhere they have internet access.
Act now to move your accounting and bookkeeping records to the Cloud today. LedgersOnline provides affordable bookkeeping services for any business anywhere.