5 Myths of Cloud-Based Accounting Software: Debunked!
The cloud allows you access to your data in real-time and from anywhere with an internet connection but there’s still some misinformation floating around. It sounds like an ideal solution to any accounting team: realtime reporting, automatic updates, and flexibility to work remotely. So what are some of the myths that accountants still believe about cloud-based accounting software? Read on as we debunk five of the most common ones.
Myth 1: Cloud Software is Expensive
Most cloud-based accounting software is subscription-based and has users pay monthly or annually to keep using it. Since it’s a recurring cost, many people feel that it adds up and becomes more expensive than traditional, desktop accounting software. However, cloud-based accounting software can cost as little as $5 per month and can offer quite a bit more than desktop software.
First, consider the value of the accounting software. With desktop accounting software, you’ll purchase a certain version that likely won’t update for years. Then, when the new version comes out and the version you have becomes obsolete, you’ll need to purchase the new version and migrate all of your data. Instead, cloud-based accounting software is constantly upgrading during the subscription, so you always have the best and most up-to-date version.
Cloud-based accounting software also allows users to access information from anywhere with an internet connection, rather than being tied to the office. This can increase productivity and help make sure the accounting is done each month, regardless of where the staff is located. Leveraging a cloud-based accounting software can greatly reduce office expenses since the team is no longer required to be on-site to perform their duties. Fewer expenses lead to an increase in profits in the long run.
It’s true that desktop software can be cheaper than cloud-based accounting software if you consider the one-time, upfront cost and spread it across the life of your company. However, it’s likely you’ll need to upgrade the software every few years, where you’ll be required to buy it all over again. When you break that cost out as an annual or monthly expense, it becomes pricey.
Myth 2: Cloud Software is Unpredictable
Cloud-based accounting software actually gives you and your team more certainty. Since the cloud technology allows you to access data from anywhere with a connection, it makes it easier to get the work done and make sure everything in your business is accounted for, regardless of weather, illness, or anything else that may come up.
The added stability of cloud-based accounting software is keeping pace with the world as workers become more remote-based and less dependent on traditional office space. Now, you can look for the best accountants when you’re hiring and their location doesn’t matter. No more relocation expenses.
Myth 3: My Data Isn’t Secure on the Cloud
Just because a software is housed on a desktop or local network doesn’t mean it’s safe. The data can still be hacked by cybercriminals or it could be lost if the software fails. It’s important that you backup your data securely - no matter if it’s on the cloud or a local device.
However, cloud-based software has added layers of protection to help keep cyberattacks at bay. Software companies use the latest security measures to help protect your data while using their software. Since the software company specializes in cloud-based solutions, they use some of the best-rated security measures around. Plus, cloud-based software makes sure you won’t lose your data if your computer crashes - the data is stored safely in the cloud.
Pro tip: You can also help keep data secure by customizing the access you give users and restricting access based on IP address locations. ZarMoney allows you to do all of this, plus assign users different roles to control who can see what information at your company.
Myth 4: Cloud Software Needs Constant Updates
The truth is that cloud-based accounting software can update frequently to enhance the users’ experience. However, the user never has to do any work required for the updates - it’s all done by the software provider. Generally, automatic updates happen outside of normal business hours. When the user starts the program again, the updates are done and ready to use.
Many updates are done behind the scenes to enhance security or upgrade programming. Large changes to the user interface are rare and you shouldn’t worry about having to re-learn the system after every update!
Myth 5: It’s Hard to Learn New Software
Since cloud-based accounting software can constantly update and change due to user feedback, it’s actually much easier to learn than a lot of desktop accounting software. With desktop software, you purchase one version that doesn’t change until you buy the upgraded version. However, cloud-based software can slowly evolve and become more user friendly.
Because it’s constantly evolving, cloud-based accounting software is increasingly easy to learn. Many software companies strive to take the complexities out of accounting and help the users navigate through their day as smoothly as possible.
Pro tip: Many cloud-based accounting software solutions offer virtual training and outstanding customer service. ZarMoney has you covered with both - from video tutorials and walkthroughs of common tasks to hands-on customer support.
Cloud-based accounting software doesn’t have to be a cloud of myths. As technology advances, the cloud is being used to help increase efficiencies and improve the work lives of employees around the globe. You can help get your business on board by embracing some of the great things that cloud-based accounting software has to offer.