Cloud computing has been slowly transforming the way we interact with and use our devices over the past 10 years. It has made our mobile devices more powerful, allowing us to perform tasks on the go that we never could before. It is also transforming the way businesses operate.
Simply, cloud computing is the delivery of computing services over the internet, or “cloud”. This allows you to access these services anywhere at any time, as long as you have an internet connection. More than likely, you have already been using cloud services for quite a while. Some examples of cloud services include, iCloud, Google Drive, Gmail, Google Docs, and much more.
For businesses, cloud computing is making operational processes easier, enables employees to work from anywhere, and opens new expansion opportunities. There is one space where cloud computing has completely shaken up businesses processes, bookkeeping.
Cloud Based Bookkeeping with Xero
Xero is an industry leader in providing cloud based bookkeeping software to businesses, transforming their workflow. It allows bookkeepers and accountants to work collaboratively, keep accurate records, prepare invoicing, and arrange payroll. They can do this in a way that is more transparent and mobile than ever before.
These cloud based solutions have even more benefits for business owners and bookkeepers. They clear up a lot of clutter, storing your financial documents safely in the cloud, and they offer automation features that were previously unattainable for small and medium sized businesses. But there are even more benefits beyond that which we go into more detail about below.
The Benefits of Cloud Based Bookkeeping
Cloud computing works through a network of data centres that store and process data. They collect and transmit data through a range of applications whether they be from Google, Microsoft, Facebook or more. This network stores huge amounts of data, are serviced by extremely fast internet connections and are constantly being upgraded. They evolve overtime allowing new uses and making older uses more efficient.
With scale comes affordability. Cloud based storage offers expandability without the high cost. You can expand on your devices storage without having to purchase additional hard drives, USBs or memory cards. Instead you can simply pay a small fee and you instantly get a large amount of storage that you can’t accidentally leave behind at a coffee shop. Now you don’t have to worry about losing your financial records.
The two big pillars of cloud computing from a user’s end come together under productivity. Collaboration and mobility. With cloud based bookkeeping you and your bookkeeper, plus your accountant, can all work together to find the best financial solutions and direction for your business at the same time.
Then you, your bookkeeper and your accountant can collaborate from anywhere in the world. You don’t have to be in the same room, in fact you don’t have to be in a room at all. Your accountant could be at home, your bookkeeper in their office, while you are on a flight to Sydney. These systems just work anywhere and on almost any device as long as there is internet connectivity.
Backup and Recovery
Have you ever lost your USB filled with important documents somewhere, or have you ever had your hard drive corrupt because you accidentally dropped it? With cloud computing these worries are a thing of the past. Before, your bookkeeping could be put weeks or even months off track just because of a freak accident. Now you can back-up and recover all of your important financial documents wherever you are.
Cloud based applications always implement a strict range of policies, technologies, and security measures to ensure that your data is safe. These cloud based providers are able to hire world class security experts that small to medium businesses could only dream of. They ensure that all data will be safe and secure allowing you to rest easy.
Cloud based computing doesn’t end there. There are new uses for the cloud coming out every year. Each of these will make your business function more efficiently and improve your bookkeeping and accounting processes. If you want to transform your bookkeeping with cloud computing talk to your bookkeeper. A professional bookkeeping service will have access to software like Xero, and can help you transition easily.
If you want a bookkeeper that takes advantage of the latest in cloud based technologies to make your business run more efficiently, talk to Link Strategies today.