Cloud accounting – Helping You To Run Your Business Better

What is Cloud Accounting and Why do you Need it?

In our previous article, we explored some of the accounting issues surrounding the HMRC’s Making Tax Digital (“MTD”) project.  Here at TAG Accountants Group, we believe that as sole traders, partnerships and small limited companies will now be required to submit quarterly returns to HMRC, it follows that cloud accounting packages will offer an increasingly cost effective solution.

So what actually is cloud accounting?

For those still unfamiliar with the term, “cloud accounting” might be compared to internet banking in that your data is stored “in the cloud” and accessed via the internet. Business users who adopt cloud accounting discover that they can access their software and underlying data online at anytime and from anywhere in the world.

MTD aside, other key benefits of switching to a cloud accounting platform are set out below:

Key benefits of cloud accounting

So what benefits does cloud accounting give your business when compared to other more traditional accounting software?

• The data in the cloud accounting system and the software itself is always up to date.
• The software allows multiple users access using internet-enabled devices at any time.
• There is no requirement to take and keep back-ups as data is stored off-site in the cloud. Consequently, your business may no longer need to run a company server.
• Software updates happen automatically and are included in monthly fees.
• Customer support is also included in that monthly fee.
• Your Accountant can access your data at any time and deal with on-going queries without the need for back-ups being passed backwards and forwards.
• Security of data is on a par with the best in internet banking.
• Many cloud packages have separate applications that can be bolted on to the basic package to make some of your other business processes more efficient e.g. stock system, time tracking, CRM system, payroll & HR, bills & expenses, credit control and management reporting.

Making a decision

There are of course a variety of packages on the market to choose from. Price and functionality aside, the major providers such as Kashflow, Sage, Xero and Quickbooks offer free trials so you can have a good look at them before making a decision.

If you would like to know more about how cloud accounting could benefit your business, call TAG Accountants on 01902 783172 today or alternatively just click HERE to contact us and one of our Senior Management Team will be delighted to discuss your requirements and advise you on the most appropriate accounting solution for you and your business.