Cloud vs. Local Servers: Choosing the Best Setup for QuickBooks Enterprise

When it comes to managing finances, QuickBooks Enterprise has proven to be a robust and adaptable option for businesses of all types. However, the critical question is where to install it — on a local server or the cloud. Let’s explore both options and weigh the pros and cons to find the ultimate solution for your company.

QuickBooks Enterprise on a Local Server

QuickBooks Enterprise on a local server refers to the configuration where the companies host and operate QuickBooks Enterprise on a server physically located within their local network or business premises. This setup offers both advantages and disadvantages that businesses should consider.


Opting for QuickBooks Enterprise on a local server provides greater control over your data and software since everything is stored and managed within your own network infrastructure. It is particularly beneficial for businesses that prioritize the security of their data and want direct supervision over their financial information.

Local server setups also offer faster access speeds than cloud solutions, especially if the internet connection is not fast or reliable. With QuickBooks Enterprise Server locally, you have total control over your data’s storage, backup, and security. You can customize your setup to meet your unique requirements, guaranteeing data security and privacy in compliance with industry standards and personal preferences.

Due to their on-site hosting, local servers usually provide quicker access to data and applications, which is crucial for companies with complex procedures or large datasets. Additionally, installing QuickBooks Enterprise Server on-premises may initially appear more cost-effective for certain companies, especially those with a network.


It is essential to acknowledge that local server configurations often require a sizeable upfront investment in hardware, software, and IT staff to maintain the server. Regular backups, updates, and ongoing maintenance are necessary for managing a local server, which can be time-consuming and require specialized IT personnel.

In an increasingly remote and mobile work environment, the fact that QuickBooks data on a local server is only accessible from the office might be a significant disadvantage. This limited accessibility can hinder productivity and collaboration, especially for businesses with distributed teams or those that require on-the-go access to their financial data.

Despite the advantages, maintaining a local server demands ongoing IT management, including software updates, security measures, and regular backups to prevent data loss. Choosing between a local server and a cloud-based solution requires careful consideration of the trade-off between control and speed versus the cloud’s convenience and scalability.

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QuickBooks Enterprise Cloud Server

QuickBooks Enterprise Cloud Server refers to hosting the QuickBooks Enterprise software on third-party cloud servers instead of local servers. This approach offers several advantages and disadvantages that businesses should weigh.


By leveraging cloud technology, businesses gain flexibility as users can access QuickBooks Enterprise from any location with an internet connection. It benefits companies with remote teams or those that require access to their financial data on the go.

Cloud hosting typically offers robust security measures, as trustworthy cloud service providers invest heavily in securing their infrastructure. It can help safeguard your financial data against potential threats. Additionally, cloud hosting streamlines IT management since the hosting provider generally handles updates and maintenance tasks. It allows businesses to focus on their core activities instead of worrying about server management.

Cloud solutions offer unparalleled flexibility, as users can access the software and data anywhere with an internet connection. It is especially advantageous in today’s remote work and collaboration landscape. Furthermore, cloud-based solutions generally have lower initial setup costs than local servers. Businesses can scale their resources up or down as needed, paying only for what they use.

Cloud providers handle software updates, security, and maintenance, reducing the IT burden on your organization. It ensures your system is always up-to-date and secure without requiring extensive in-house IT resources.


Considering potential data privacy and security concerns with cloud-based solutions is essential. While reputable providers implement robust security measures and compliance protocols, some businesses may still have reservations about entrusting their data to external servers.

Cloud solutions also rely on a stable internet connection, making them less ideal for businesses operating in areas with unreliable connectivity. Additionally, while cloud solutions offer flexibility, they may not allow the same level of customization as a local server setup, limiting certain specific business requirements.

In conclusion, QuickBooks Enterprise Server in the Cloud is a contemporary and adaptable solution for companies seeking to simplify their accounting processes and leverage the advantages offered by cloud technology. However, businesses should carefully weigh the pros and cons of local server and cloud-based options to determine which setup best aligns with their unique needs and priorities.

A Comparative Analysis: Why Cloud-based QuickBooks Enterprise Trumps Local Server Setup

When comparing the advantages of a cloud-based QuickBooks Enterprise against a local server setup, it becomes evident that cloud computing is the superior choice for businesses. It is due to the benefits of accessibility, cost-efficiency, automatic updates, and reduced maintenance workload the cloud offers.

Although data security and internet dependency concerns are valid, reputable cloud providers invest heavily in security measures and redundancy to ensure uptime.

Furthermore, the cloud enables businesses to focus on core operations and growth instead of being preoccupied with server management. Given the recent shift to remote work, the cloud-based QuickBooks Enterprise Server is a future-ready solution that facilitates agility and collaboration in a dynamic business environment.

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While local server setups may have their merits, the cloud is the way forward for QuickBooks Enterprise. Its flexibility, cost-efficiency, and ease of management make it the superior choice for businesses looking to streamline their accounting processes and adapt to the ever-changing landscape of modern industry.

The drawbacks of local servers, such as higher costs and limited accessibility, make a strong case for the cloud’s ascendancy as the ultimate choice for QuickBooks Enterprise Server deployments.

To host your QuickBooks Enterprise and accounting data on a cloud server, get started with a 7-day free trial from Ace Cloud and enhance your accounting experience.

About Julie Watson

Julie is a dynamic professional with over 16 years of rich experience as a VDI and Application Hosting expert. At Ace Cloud Hosting, she humanizes disruptive and emerging remote working trends to help leaders discover new and better possibilities for digital transformation and innovation by using cloud solutions with an enterprise-class security approach. Beyond work, Julie is a passionate surfer.
On the weekend, you will find her hanging out with her family or surfing around the North Shore of Oahu.

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