Why Cloud Accounting is a Better Option for Businesses

Since the world became digital, businesses have begun to keep their financial information on computers as they enable them to save space and keep everything organized. But, it is all too often that computers are attacked by viruses and malware that just wipe out all your data. If a business loses all its financial data, it can wreak havoc on their operations due to which it is essential they take the right measures for securing their data. This is where cloud accounting steps in. Simply put, this refers to online accounting, but the difference is that you don’t access the software from your PC’s hard disk; you access it via the internet.

Let’s take a look at how cloud accounting can help a business from a data security perspective. In order to do that, we first need to look at the common reasons behind data loss and how they can be prevented with cloud accounting solutions:

Computers are vulnerable to viruses

Sure, we all install the best anti-virus solutions on your PCs, but new viruses are introduced every day. The viruses can come from USBs or the internet and can be difficult, even impossible to remove. You eventually have to wipe out the hard disk, which means losing all data. This doesn’t happen in the case of the cloud. With cloud accounting software, your data is stored in virtual servers so even if your computer is infected by a virus, your data is safe and can be accessed on another device.

No or weak access control is a threat

One of the easiest ways of losing financial data lack of access controls on your devices. Most of the time, easy and singular passwords are used for unlocking PCs and they are often shared with colleagues. The problem is that anyone can accidentally delete files or mess with data without meaning to. Someone may also take files without permission and that’s not what you want. As far as cloud accounting software such as accounting services Singapore is concerned, no data is stored locally and nothing can be copied or viewed without authorized access to the software.

Backups are only made after data loss

Everyone is aware of the importance of regular backups, but most businesses are not very disciplined in this regard. Even the data that’s backed up has to be organized and protected in such a way to make it easier to restore. When cloud accounting solutions are being used, this is not something a business has to worry about. The software will do the backups itself on a regular basis and keep all the files organized to ensure you are able to access them when needed without having to sort through them.

The beauty of cloud accounting solutions is that they have a more sophisticated infrastructure as compared to secure and powerful office computers. They are protected by strong antivirus tools and dedicated professionals monitor them 24/7. They have multi-factor access control systems and regular backups, which make them ideal for businesses.