Things to know about cloud bookkeeping

Previously in the business world, desktop accounting software was used to track and record all the deposits, credits, and withdrawal history associated with the company’s business account. After the introduction of the new form of bookkeeping, all the process has been shifted from the desktop or the laptop to the cloud, providing more flexible use to the user. In this article, we will discuss some unknown facts about cloud bookkeeping software. This type of software is known as cloud account, online accounting, and web-based accounting software.

When was this software introduced, and by whom?

Cloud-based accounting was introduced to the world in the year 1990 through the release of NetSuite.

 Features of these types of software-

1. They help in recording all financial transactions.
2. They help in preparing the balance sheets.
3. They help in preparing the cash flow statement.
4. They help in creating the income statement.
5. They help keep the company’s account updated with the debits and the action of the credit performed.
6. They help in creating different types of invoices.
7. They help the user to maintain the payroll record of all the employees in the company.
8. They help maintain the ledger of the company in which it is documented about the materials bought from suppliers and the company’s clients and customers.

How does it work?

This type of software uses an encrypted connection while sending or receiving confidential data from one user to the other. Cloud accounting software works by sending the data to the remote server, then again, it is bounced back to the sender. In this software, there is no external third-party intervention or involvement. All the things are locked between the two people. This makes cloud accounting safe and secure.

Popular among-

This software’s popular among 67% of accountants, business people, industrialists, and many more because of its data security assurance.

Benefits of cloud accounting software-

1. Save money by shifting to automatically recording everyday transactions and financial records.
2. Save your time from wasting on repetitive manual tasks.
3. Share your books with relevant team members.
4. It helps you and your team to access the software from anywhere in the world with just an internet connection.
5. The use of end-to-end encryption mode helps keep all the data and information safe.
6. Here all your data are constantly backed up automatically. So when some system failure occurs, you will not lose your valuable data.

To conclude, the facts mentioned above include the facts and benefits of cloud accounting.