How cloud accounting helps SMEs

For SMEs, cloud-based accounting solutions have been one of the biggest game-changers of recent years and there are many ways in which the latest platforms make small companies more operationally flexible and efficient. Here’s a look at some of the most significant.

Enhanced visibility and collaboration potential

Cloud-based accounting systems essentially make every element of a company’s finances visible to all the most relevant parties at once and at the touch of just a few buttons. Rather than being stored in a single set of files on an individual computer, spreadsheets and all relevant documents are automatically backed up and rendered accessible from anywhere via the cloud.

With all accounts and financial details therefore contained on an online platform, there is much greater scope for easy and effective collaboration between teams of professionals working for the same company, regardless of geographic location.  

Speed and accessibility

Cloud-based accounting platforms make all elements of the financial management process much smoother and speedier, which can make a huge difference to SMEs whose staff and directors can therefore turn their attentions towards other issues and more pressing concerns. Accounting in the context of SME management is vitally important but the more efficiently it can be conducted the more effectively a small company will be able to compete with rivals and win new business.

Another reason why cloud accounting software is helping SMEs work more seamlessly is that the relevant accounts and information can be accessed and worked on from any devices and from any location. So, a company director or an accounting professional can use any secure work-ready device, whether a laptop, a tablet or a mobile phone, to investigate and get up to speed on a full range of financial matters, whether they’re at home, on the road or in the office.

Simplicity and security

It is easy for organisations of all sizes to wonder if some of the latest technologies or software solutions are really right for them and the way they work. It’s also natural to worry that certain innovations might ultimately make life more complex or difficult. Cloud-based accounting, however, could hardly be more straightforward to establish and implement, and then to systematically utilise.

Storing data on cloud platforms is also much safer than it is on individual computers, which can more easily be hacked and compromised. Data stored in the cloud is never at any point in danger of being lost in part or entirely. It will always be where you left it and it will be robustly protected via the specific software platform being used.   

The story of how cloud computing is changing enterprise IT is still unfolding but from the perspective of small businesses there is a lot that can already be gained simply by switching to cloud-based accounting software. In terms of cost-effectiveness the benefits are clear to see for SMEs in all sectors and for most it is a question of when and not if they switch their accounting systems to the cloud.