Why is QuickBooks Cloud Hosting The Way to Go For Small Businesses?

The ultimate goal of your business, irrespective of its size and scale, is to ensure profitability. This is possible with efficient bookkeeping that helps manage all the credits and debits from the business account accurately.

As a critical part of running a business, bookkeeping induces better performance analysis to make the required business decisions. This is where introducing accounting software becomes critical to avoid possible errors with bookkeeping and maintain resistance to the damages resulting from accounting errors. 

QuickBooks Desktop, being the most trusted accounting software, can be the best bet to simplify and automate accounting processes. However, if you run a small business, the lack of resources can take a toll on the accounting data’s security. To ensure accurate accounting and avoid various tax errors/penalties, you can switch to QuickBooks cloud hosting. 

Not sure how the two ends – QuickBooks cloud and accounting accuracy, converge? Let us paint a detailed picture for you.

QuickBooks Cloud Means Accurate Accounting for Small Businesses

• Reduced accounting errors

Bookkeeping for a small business often involves handling accounting data by several team members. This is generally done to double-check for any accounting error that may lead to higher tax liability and penalty. On the flip side, when multiple accounting team members create redundant data files while using local-hosted QuickBooks, the risk of human errors is even more and becomes the root cause of higher taxes and additional penalties.

Accounting for a small business must involve the accurate calculation of numbers related to various financial activities. This can be better handled when you switch to cloud-hosted QuickBooks. When hosted on a cloud server, QuickBooks software is accessible from any remote location and does not require multiple file creation at respective users’ ends. Your team members can work on the software and data files simultaneously and make real-time changes.

• Improved financial planning and business forecasting

Accounting does count on business performance. Various long-term business decisions rely heavily on assumptions that are based on financial performance in the recent past. For example, if you want to set the sales growth target for the next year to a certain number, you would like to consider the previous year’s sales numbers first to make any assumptions. Accurate accounting ensures that you get all the performance reports timely when needed. 

QuickBooks cloud can be the best way to prevent accounting errors that can hamper business planning. You can get precise accounting data, be it infrastructure expenses, employee allowances, or demand numbers, on time by migrating your local-hosted QuickBooks to a cloud server.

• Efficient cash flow management

If you want to stay on top of cash flow management, you again need to keep a check on the accuracy of accounting data. For instance, keeping receipts and bills for cash sales is a common practice that helps in maintaining the cash flow. Based on their data, the books are then updated timely to maintain the required cash flow. Any delay in updating the data in books via QuickBooks software may make you lose cash flow structuring. 

Cash flow management becomes much easier when you have a QuickBooks enterprise hosting solution by your side. You can add all your team members as authorized users who can access the hosted QuickBooks and QB data files. As a result, this will streamline productivity at work to support time-sensitive bookkeeping. Since only authorized users can access the cloud-based data, you will benefit from another layer of data security. 

• Regular backups as a shield against data loss

One of the reasons why many small businesses still rely on paper-based bookkeeping is to reduce the risk of losing accounting data saved digitally. A sudden hardware crash or a natural disaster often leads to non-reversible data losses for many businesses which in turn, result in financial damages. If you have experience using QuickBooks installed on local systems, you know how difficult it can be to recover data lost during system failures.

Whereas, QuickBooks hosting acts as a shield against the risk of data loss during such instances. Most of the renowned QuickBooks cloud providers ensure rolling backups for up to a month to allow their clients to get the lost data restored without facing any hassle.

Technically, this is achieved by storing the data on multiple cloud servers situated in different locations. Even if one server is down due to technical glitches, your QuickBooks and data will be shifted to another server to ensure uninterrupted access.

Now that you know the perks of switching to QuickBooks cloud hosting, it is equally important to understand how to hire a cloud solution provider.

Hire the QuickBooks Hosting Provider that

• Offers Different Hosting Plans

The requirements of a small business will be different from a bigger one. If a cloud solution provider only offers hosting plans that cater to big businesses, they will charge for it accordingly. In such situations, it does not make sense to pay for a hosting plan that provides cloud resources way beyond what you need. Hiring an unsuitable QuickBooks hosting plan is analogous to buying 100 ounces of bread for daily needs when you know you only need 10 ounces max.

Hence, look for a cloud provider that offers several hosting plans to cater to different types of businesses.

• Offers SLA-backed Uptime Guarantee

A Service Level Agreement, commonly known as SLA, is a standard document that defines the terms and conditions set by a cloud hosting provider. To benefit small business owners like you, it also covers all the standard terms that a cloud service provider has to ensure and ways to compensate you in case of loss of service quality.

Particularly for hosted QuickBooks, you should look for a server uptime guarantee backed by the SLA. Take the case of Ace Cloud Hosting, a renowned cloud solution provider that ensures SLA-backed uptime of 99.999% for its clients. The higher the number of nines here, the better it will be for your business.

• Offers Cloud Migration Support

You have all the QuickBooks data along with the licensed software. With all the information given here, you are also convinced to switch to QuickBooks cloud.