Cloud provides secure, efficient system for accounting

The accounting software industry continues to move away from on-premises, PC or server-based accounting software to cloud accounting systems such as Intacct, NetSuite, or QuickBooks Online. For growing businesses, moving to cloud accounting may be weighing on the minds of the executive team as they hear about the advantages of a cloud-based system, but why should they change and when is the right time to make the switch?

Why make the move to cloud accounting?

Most executives have a concern over whether their data is secure, yet virtually all companies have some aspects of their business already in the cloud where safeguards have been put into place. Companies login into a website to access their bank accounts and their investments. Even 401(k) accounts are in the cloud. If they use a payroll service, that data is in the cloud. So why not move the accounting system to the cloud? Cloud-based accounting has significant advantages over server or PC-based systems, including:

1. Anywhere, anytime accessibility to real-time information about your business.

2. Eliminating hardware and software capital expenditures, installation, annual license fees, and IT support.

3. Increased operational benefits, including backup support, disaster recovery, and uptime guarantees that approach 100 percent.

4. Data is safe and sound. Many cloud accounting providers offer 24/7/365 monitoring and a host of system and data security measures, like 2-step user verifications, login filtering based on IP addresses, and third party penetration testing.

When is a good time to move to cloud accounting?

Moving to a new accounting system is a major decision for any organization. An ideal time to move to a cloud-based accounting system is when a business meets one or more of the following criteria:

1. Unhappy with their current accounting system.

2. Unable to get adequate, real-time financial reports.

3. Has a need to make a significant investment in servers, backup systems, and networks.

4. Has plans for growth and needs a scalable solution.

Having real-time financial information allows business owners to make more informed decisions and identify future needs quicker. Making the move to the cloud requires proper planning and execution, but once the system is in place, processes can be streamlined, other systems can be easily integrated and businesses can save time and money.

• DHJJ has provided advice on accounting systems since our inception. To see if cloud accounting is right for your business, contact Ken Overholt, CPA and Principal, at (630) 420-1360 or email him at koverholt@dhjj.com.

For more information on DHJJ's QuickBooks and Cloud Accounting Services, please visit:

http://www.dhjj.com/what-we-do/audit-and-accounting/quickbookscloud-accounting/