Cloud data storage has become a new norm in our everyday life. Most of us use cloud storage when using smartphones or working desktops.
Business accounting is no exception in adapting the cloud storage transformation. However, many businesses do not realize the full potential of cloud storage.
At Pransform, we always strive for business accounting excellence for our clients. Let us show you what cloud data is and how it can benefit your business.
What is Cloud Data Storage?
Cloud storage refers to a network of remote servers that store data and that can be accessed via the internet. The storage takes place physically on powerful computers that are secured and run by the world’s leading cloud data service providers.
The conventional way of data storage was to keep all the digital data on local hard disks or computers. The physical data storage method offers several risks.
Cloud storage is an alternative to the physical data storage method. Now, businesses and individuals can store large data on cloud drives instead of conventional hard disk drives.
How Does Cloud Data Storage Work?
Cloud storage is run by specialists. You pay for data storage, management, backup, and security.
Your data is kept securely at a network of secured servers. You can send and retrieve data from these servers using online means.
As compared to physical hard disk storage, the cloud storage capacity is manifolds. Also, you do not need to worry about keeping a backup of data that cuts the storage space to almost half of its original capacity.
Top 3 Benefits of Cloud Data Storage in Business Accounting
Many businesses want to migrate to cloud storage but they don’t know what benefits the move can offer them.
At the core, you don’t need to worry about keeping duplicate data storage as a backup. You don’t need to worry about data hacking or stealing with cloud storage too.
With cloud storage, your financial and business accounting is always accessible to all of your employees.
Here are our top 3 benefits of using cloud data storage in business accounting.
Competitive Advantage – Turning Data into Information
Using cloud data storage means storing large data in one place. The digital form of data through the use of accounting software such as Xero, QuickBooks, Sage, etc. means you can extract valuable data when required.
It means you can turn your descriptive data into predictive data information. It will lead you to a competitive advantage with a better internal decision-making process.
Fast access to large data and AI-empowered tools means quick information at your fingerprints. You can use valuable information for short-term decisions such as pricing, discounts, overhead costing, etc.
The real benefit comes from the strategic planning aspect. You can use the data to decide on business expansion, new service inclusion, client profitability, and so on.
Saving Time and Money
Moving to cloud storage can save you enormous time and effort. Imagine compiling valuable business data over the years and losing it with a hardware malfunction.
The value of time has no parallel to the costs linked with cloud storage. Although cloud storage is an ongoing cost, it still saves you money as compared to physical data storage that requires regular maintenance and backup.
Moreover, cloud data plans are flexible. Many cloud accounting service providers offer different pricing plans. So, you can move to a suitable pricing plan as you grow.
Better Data Management Solutions
Another key benefit comes through better data management with the cloud in business accounting.
With cloud data, all of your employees can access it from anywhere. It means outsourcing can be easier for you as an accounting firm.
When you move to cloud accounting, you eliminate errors and inconsistencies of data as well. You can reduce the client trust deficit with synchronized and up-to-date data at all times.
Lastly, recovering valuable business data is much easier with cloud storage than with other methods. It can be a challenging situation for accounting and finance service providers, especially, during crunch times such as the tax season.
At Pransform, we have helped many of our clients to migrate to cloud accounting solutions. Take a look at our cloud accounting solutions for your business here.