Leveraging Cloud Software for Enhanced Financial Operations

Key Takeaways:
  • While desktop applications can still be a workable solution for some businesses, the pandemic showed business owners the need for flexibility in the workplace and cloud-based accounting software helped meet those needs.
  • Companies such as Intuit have begun to focus their attention on online platform products. 
  • As of July 31, 2024, Intuit will no longer sell new subscriptions of their desktop products except for QuickBooks Enterprise.

 

No matter the size of your business, it is important to invest time and resources into setting up a reliable accounting platform. In the past, small companies could effectively operate using Excel spreadsheets or even accounting ledger books. However, technology has significantly impacted how businesses operate. Gone are the days of waiting until the end of the month for your bank statement to come in the mail to reconcile your bank account. 

Business owners are realizing that staying ahead of the competition and meeting the constantly evolving demands of customers requires you to have a deep understanding of your business operations. To achieve this, it has become crucial to have access to your financial data on a weekly, and in some cases, even on a daily basis. 

Benefits of Cloud-Based Accounting Solutions 

While desktop applications can still be a workable solution for some businesses, the pandemic showed business owners the need for flexibility in the workplace and cloud-based accounting software helped meet those needs. Using an online solution can provide many benefits to a business such as: 

  • Automation  
    • The ability to link software to financial institutions, credit card processors and point-of-sale systems means less time spent manually keying in data and less chance of information being entered incorrectly. 
    • Automation also means you can review transactions more frequently and are able to spot inconsistencies as soon as they happen instead of waiting until the end of the month. 
  • Access Anywhere  
    • With cloud-based software, employees can work anywhere with an internet connection. 
    • Accountants can access client’s financial data more efficiently. This helps to provide guidance with business decisions and financial reporting needs. 
  • Digital Records  
    • Many programs now have the ability to take a picture of receipts and attach them to transactions within an accounting software. This means you no longer need to spend countless hours tracking down receipts. 
    • These programs also help cut down on the amount of time spent digging through storage boxes and file folders to look up what a vendor was paid for a purchase. 
  • Scalability  
    • With online accounting software, third-party applications can be integrated to meet a company’s needs. Adding apps is like creating a customized software package for your business at a fraction of the cost. 
  • Data & Equipment Security  
    • One of the biggest concerns for business owners is how safe data is when stored online. The simple answer is online data is often more secure than when stored onsite. 
    • Cloud-based software providers often have multiple locations with servers creating various backups of customer data. This means if a disaster makes a server unusable, there is another source to pull or restore the information. 
    • Software providers work full-time in security. They invest a lot of resources in ensuring the data and the facilities that house it are secure. Small businesses often lack the money or knowledge to protect data. 

While most accounting software vendors will continue to maintain desktop versions, companies such as Intuit have begun to focus their attention on online platform products.  As of July 31, 2024, Intuit will no longer sell new subscriptions of their desktop products except for QuickBooks Enterprise. Existing desktop subscribers will be able to continue to renew their annual subscriptions and Intuit will continue to provide updates and product support, but new subscribers will be directed to purchase an online subscription.  

If you would like more information about selecting cloud-based accounting software that meets your business needs, please contact an Adams Brown advisor.