Update: This article was last updated on 20th Nov 2020 to reflect the accuracy and up-to-date information on the page.
Ask any accounting professional – What is the first thing that comes to your mind when you think of the accounting data? The answer will most certainly be Security.
No accounting firm can succeed without making sure that their accounting process is secure. No doubt, there are other aspects such as data management, flexibility in operations, and remote working as well, but security trumps them all.
As an accountant, think of the most secure platform that can offer you all the benefits mentioned above with an additional cushion of security. There are various options available for you to host your accounting applications and data.
Among these, cloud computing is undoubtedly the most versatile platform to host any business-specific applications offering advanced levels of mobility, security, and performance.
According to the recent forecasts by Gartner, total public cloud service revenue is expected to reach $364 Billion by the year 2022 with the current growth of 6.2%, indicating an increase in the number of businesses adopting cloud technology.
However, if you are opting for cloud accounting, why not go for a dedicated cloud server?
The cloud server is a virtual server that is created from the pool of cloud computing resources. In contrast to the shared environment, dedicated cloud servers offer the accountants resources exclusively for their use. For the end-user, the cloud server is just like any other physical server.
Let us see why the accounting firms, whether SMBs or enterprises, would benefit from the cloud server.
1. Extra Layer of Security
The cloud infrastructure is itself quite robust in terms of data security. However, the cloud server adds an impenetrable dome of security for the accounting applications and data.
The cloud providers from whom you get the services anyways deploy advanced security methods to secure your data. These may be data encryption for the safe transmission of data, multi-factor authentication for secure access to the cloud, and Intrusion Detection and Prevention System (IDPS) to identify the harmful data traffic.
However, in a cloud environment, a large number of users host their applications and data and share the large pool of resources offered by cloud. Although the cloud providers take all precautions to maintain anonymity, any security breach in one application due to negligence can compromise other applications as well.
With cloud server, accountants get a server that has its own set of resources and unaffected by alien applications hosted on the same cloud infrastructure.
2. Optimum Performance
When someone talks about performance, it does not only mean that the application they are working on opens up quickly or does not hang. Performance is also evaluated by the number of applications you can run on a server simultaneously. It can also point to the speed at which the data is synced between multiple applications.
In the case of the accounting professionals still using the legacy in-house servers, optimum performance can be achieved, but at a cost. You have to bring in state-of-the-art hardware systems and maintain them regularly. Moreover, as the software gets upgraded, it demands more processing power, which can only be achieved by replacing the processors.
Due to the flexible nature of the cloud, the processing power of the server can change as per the demand of the user. If you think that at a certain point in time, you are going to need more processing power, it can be changed instantly to keep your performance to the optimum level. Hence, there is no chance that your accounting process lags, even during the busy tax season.
3. Easy Customization
You can think of the cloud server as your personal server located in a remote location. You can make use of it as you see fit. With the private server, there is a lot of scope for customizations. As we know that the accounting process demands a variety of applications working in tandem for performing specific tasks and processing data.
Along with the accounting functions, there are other complementary tasks like data synchronization and file conversion that need to be accomplished.
There are various third-party applications or add-ons that integrate seamlessly with your accounting software to fulfill your accounting requirements. However, for seamless integration of all the applications, you require a compatible platform.
The cloud server hosting lets you choose the operating system, storage, and applications of your choice. Since you have dedicated resources, there are no restrictions on the number of add-ons you may add.
4. High Scalability
The accounting application and data are dynamic in nature and require different resources at a different points in time. For instance, your accounting process might require more resources than normal during tax season as the workload is maximum at that time.
Another factor to consider here is the expansion of the accounting process. As your business expands, the influx of data also increases, creating a demand for more storage. Moreover, the accounting software goes through regular upgrades, and the improved software is often incompatible with the existing hardware.
To counter all these issues, cloud server is the best option for accounting and CPA professionals. On the cloud server, you can add or remove the server resources, be it RAM, storage, or the number of users, instantly. Some cloud providers also offer the option of auto-scaling by which the resources can be scaled automatically as per the requirement of the business.
Many competent cloud service providers offer budget-friendly solutions like pay-as-you-go pricing plans to move your CPA practice on cloud. It further helps to cut down capital expenses for running the accounting business.
A Platform for Your Accounting Needs
A cloud server offers a unified platform where the accountants can accomplish all their tasks and collaborate with colleagues and clients efficiently. It frees you from all the hassles and costs related to the in-house hardware infrastructure while offering you an added layer of security from data breaches and cyber-attacks.
If you have not yet opted for a cloud server, connect with our Solutions Consultant to know more about the latest offers and discounts.
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