News

Cloud Based Accounting Software on the Rise in 2015

30th July 2015

After more than twenty years of rapid software development, a global enthusiasm for cloud-based tech has entered the accounting industry in 2015. Following years of caution, the range of benefits of cloud computing are hard to ignore as worldwide public cloud figures reach nearly $70billion. As tech trends continue to flood the industry, streamlined cloud computing software has been hailed as an integral future step for the remainder of accounting firms who have yet to enter into the market.

A global movement

While the idea of hosted software dates back to the sixties, fast, cheap and reliable bandwidth can now provide a user-friendly experience that is as simple as the biggest social media network. Sophisticated web browsers and interfaces that are able to connect to rich online content have complimented the rising tech trend since responsive design first entered into the retail market in 2012.

North America has maintained a dominant presence in the industry, with global players like Amazon, IBM, Apple and Cisco ahead of the crowd. IBM published a persuasive infographic in 2014 highlighting the five business benefits of the cloud: analytics visibility, rapid development of new products and heighted productivity, tight links between technology and outcomes, proven statistics and greater collaboration due to its flexibility.

Cloud software providers, such as Salesforce and Softlayer are expanding into Europe with a wave of new centres to provide better data sovereignty to the European markets. The unveiling of the Microsoft 'QuickStart Bundle' has now made it simpler than ever to adopt and use cloud services. Vendors including Insightly, Xero and Skykick are all integrated with Office 365 for optimum accessibility.

Accountancy software steps away from the static.

In 2014, accountancy firms were firmly told to adopt new tech solutions to manage unstructured big data - one of the industry's biggest challenges. Cloud computing can not only solve this challenge, but the software can do this with less hardware and technical support. Unreliable servers that require constant maintenance and a small IT team can be financial drain on annual profits, particularly in the SME sector. As the industry is heavily reliant on technology to handle its accounts, superior cloud software updates, that can be developed and delivered in record time, eliminates short periods of downtime that can disrupt the day to day.

Cloud computing providers now need to have defined privacy policies to meet SSAE16 Auditing Standards to quell security issues that have plagued the industry since its foray into the mainstream market. Amazon for example, one of the biggest users of cloud software, came under fire after a short-term service failure caused disruption in 2012.

The step away from the static has transformed all areas of consumption and supply. Cloud computing has created big data solutions that once proved a challenge to accountancy firms. In 2013, research by software provider, IRIS, revealed a simultaneous rise in interest and reluctance to the shift, with just 7% of all 300 respondents moving all their work into the cloud. By comparing this statistic to the recent finding by the European Union's statistical office in December that claimed that 24% of UK enterprises use the service, with 71% using cloud storage facilities, the fast uptake during the past two years gives credence to predictions that global cloud computing solutions will triple by 2020. Financial firms that have chosen to invest in the software are now able to promote greater market insights and performance indicators that can develop growth. Financial tools such as payroll services, cash flow management and automated data entry have all been adopted to optimise business efficiency.

Grafton Banks Finance specialises in the provision of Accountancy and Finance staff to a wide variety of firms in Sussex and Surrey. Our extensive knowledge and experience of the Finance industry enables us to create tailored solutions and a professional approach when placing candidates in the financial industry. For an in-depth discussion about your next step in finance, please contact Nigel Jeyes on 01273 229499 or email nigel@graftonbanks.co.uk