Any business, large or small, has to keep their accounts and this is called bookkeeping. As well as the expense of having people enter the relevant data into the books, there is also the expense of keeping a back-up for the accounts in case of a computer malfunction. It has been traditional for businesses to keep their books on computer and in order to make keeping them updated easier, most businesses buy software specially designed for keeping books. The software is known as a bookkeeping service and the xero bookkeeping services software is one of the more popular types.
As all the data for bookkeeping can be large, most businesses would buy their own server to ensure they had adequate space available for the actual books and the back-up. The server, of course, costs money and the maintaining of that server also costs additional money on top of paying people to keep the information updated and available to peruse at any time.
Having the books kept somewhere other than on a computer which the business is responsible for, means any business can make quite reasonable savings in both computer space and salaries for backup procedures to be carried out regularly. With the cloud software though there is also another advantage and that is that as the data is not stored on the business premises, it can be accessed anywhere where there is an internet connection. This means that staff that usually operate outside the office area, can also access the books as and when they need to, provided that they have the account details for the cloud. This ability to access files anywhere is also useful for businessmen that have to attend meetings outside their office as they now have no need to download the books onto their laptops, they merely have to log on to the cloud account and have up to the minute details on all the records shown in the books.
One of the major concerns for any business in the past was that of their computers giving trouble and them losing all their account information. This meant that many businesses would go to great expense ensuring that they always had a back-up but now that the back-up is done automatically and the data is not on a business’s computer, a malfunctioning computer is no longer of much concern, affording accounting heads and business owners a lot less stress.