Cloud accounting means you connect over the internet to an off site data centre that hosts the application software and you pay a monthly fee usually defined by the number of simultaneous users. You rent the software and own the data.
Frank from Schopotts Engineering Ltd:-
“I’ve always liked the idea of a server room with a server in it and my application software and my data stored on the server. It’s comforting to touch and see something that’s crucial to the day to day running of my company.
So why on earth would I want to remove this option and move everything to the Cloud.
My server room is already built and paid for, my server is over three years old and fully depreciated and I outsource my I.T to a very reliable company that manage everything remotely.
My company is a single site and I have a remote connection from home for when it snows which my I.T guys set up.
My salesmen are unaware that there is a software application that runs the entire business process and so connecting them remotely to anything other than a gambling site or Sky Sport is a waste of time.
This is just another scam invented by the I.T industry to extract more cash by renting me something that I can buy far more cheaply”.
So why Cloud accounting?
Some benefits:-
(All of the above is guaranteed by a Tier IV Data centre)
If you remove the cost of all of the above from your current in house solution, including the I.T maintenance companies monthly fee, then renting an accounting software application doesn’t seem to be too expensive. And a three year old server will need replacing within two years at the latest.
In fact even your external salesmen will be happy in the knowledge that they will have access to customer details, trading history, on stop?, recent conversations etc, all from the carpark prior to a meeting, as well as live stock levels and availability which they can book online there and then to satisfy the customer.
Of course you have to have a reliable internet connection with a reasonable upload and download speed.
What accounting software application should you go for, well that’s another post.
Simon Pickup
Director – Bluline Solutions Ltd