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Cloud Accounting Is Changing the Way Businesses Do Business

Cloud Accounting Is Changing the Way Businesses Do Business

Also known as online accounting, cloud accounting is the method of using software applications and computer hardware to complete accounting online. Information is sent to the cloud, processed, and returned to the user.

Cloud accounting offers many benefits for both entrepreneurs and their accountants. The two can collaborate better and work together more accurately.  It gives both sides greater insight into the numbers and cash flow with its anywhere accessibility, advanced security technology, live updates, and bug fixes along with real-time facts and figures.

Farewell to Paperwork

Cloud accounting takes paperwork out of the equation for both entrepreneurs and their accountants. Everything is stored in cloud services and apps. This means that it takes less time for business owners and their accountants to find, file, and analyze documents. With the apps, receipts can automatically be put into the accounting system. When compared to traditional accounting methods, cloud accounting is a no-hassle paper solution. It’s also efficient and green.

Real-Time Facts and Figures

Business owners can also update bookkeeping data in real-time. This keeps the information up-to-date and allows accountants to work with the current facts and figures. Both entrepreneurs and their accountants get a true snapshot and more insight of what’s currently happening in the financial arena. The bottom line is that with cloud accounting, there’s better communication between entrepreneurs and accountants regarding the financial picture.

Fast and Easy Access to Financial Data and True Cash Flow

It’s ideal for entrepreneurs and accountants who are on-the-go. Cloud accounting provides access anytime and anywhere, as long as there’s an Internet connection. With just a few taps on a smartphone, both parties can attain a cash flow analysis or a summary of financial statements. It’s a platform that lets you know how much money you have, who owes you money, who you owe money to, and where your money is going. With the accurate data of your true cash flow, you’re better equipped to make smart decisions for your business.

Less Risk of Embezzlement or Fraud

Cloud accounting services utilize advanced security protection. And today, both small and large businesses are threatened with the risk of cybersecurity. There are outside threats and Internal threats with hackers seeking to steal proprietary information, customer data, and money.

With advanced security protection in place with cloud accounting services, the company’s important information is better protected online, which reduces the chance of embezzlement or fraud. The technology of cloud accounting is also ideal for small companies that don’t have the Internal controls in place to prevent theft or an IT staff to protect against cybercriminals.

All around, cloud accounting is a win-win for entrepreneurs and their accountants. It streamlines the accounting process, delivers real-time information, has easy access, and enhances cybersecurity.

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Steward Financial

Steward Financial

Jon Osborn is a tax preparer based in San Dimas, California. His company, Steward Financial Services, offers a broad range of tax preparation, accounting and business consulting for small businesses. He loves to work with clients who are looking for answers to complex tax and business planning issues. He has owned several small businesses and worked with over one hundred small business owners. He helps his individual and business tax clients find the best ways to spend their money in order to minimize IRS tax. Small businesses looking to grow, sell or just increase cash flow are one of Jon's specialties.

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