Despite the widespread use of cloud technology in everyday life, there is still some resistance when it comes to adopting cloud technology for accounting purposes. Below are the top six fears identified by Toronto chartered accountants that are stopping people from using cloud accounting software.
- Security
Potential security risks are the top concern as to why people are hesitant to switching to cloud accounting. There’s no need to worry though. Cloud accounting is actually safer than traditional software due to its remote storage, encrypted channels and password protections, making it a lot harder for the data to get stolen, lost or damaged.
- Fads
Cloud technology is here to stay. Don’t worry about wasted time spent adopting and learning a new technology only for it to be obsolete the moment you get it. That won’t happen with cloud accounting software, at least not for a few years.
- Cost
Compared to traditional software, cloud accounting is actually cheaper. There’s no costly updates, no expensive equipment and businesses can even cut costs on IT personnel and traveling expenses to and from your accountant.
- Time
While some time is necessary in order to learn how cloud accounting works, in the long run businesses will be saving time. Updating data happens instantaneously so there’s no lost time spent trying to input months of receipts and checking for bookkeeping errors.
- Control
With cloud accounting businesses have more control over their financial data. They can now access it anytime and anywhere, from any device. Sharing is also made easier and businesses even have control over what information gets made available to whom.
- Generation
The generational gap is most apparent when it comes to technology. Those that had to adopt technologies are much more reluctant to accepting cloud software versus those that were born amongst it. It’s understandable, but the cloud is the way of the future so by resisting it businesses are ignoring prime demographics and cementing themselves in the past.
