Modern Bookkeeping

Ever since businesses have existed, accounting records for those businesses have had to be kept. These accounting records included cash books, ledgers and many other types of paperwork which were collectively known as the books. Obviously to maintain these books in an up to date manner a bookkeeper was needed. A bookkeeper could them present the books to a business owner or their accountant in order for them to complete accounts to determine the financial well-being of the business.

At first, these books required lots of paper and an elaborate filing system but with the introduction of computers, the books were kept on computer files to be accessed as and when needed within the business’s computer network. Later bookkeeping software was introduced which enabled the bookkeeping to be made easier but the amount of information which was needed to be stored for the accounts, often meant that a business would have to buy its own server to store it. This, in turn, meant that although the keeping of the books may have been made easier, the maintaining of the server and backing up the books was also needed and so any expenses saved on keeping the books was spent on maintenance and back up.

Today, however, thanks to the introduction of cloud bookkeeping software, many of those expenses can be reduced. The cloud, of course, refers to large servers online and these large servers enable anyone, including businesses to keep their large amounts of data in them, negating the need for a business to own and maintain their own server. Although the cloud technology has been around for some time now, it is only more recently that software has been developed which enables bookkeeping to be kept in the cloud.

Not only does the use of cloud bookkeeping software enable businesses to save money on server maintenance but they also no longer need to worry about backing up the book data as the software automatically backs up the books daily. The result is that any business owner not only now has access to software to assist in their bookkeeping but they also have a stress free time not having to ensure all their accounts are backed up sufficiently in case of any mishap.

An added advantage cloud bookkeeping software offers businesses is that it allows access to the books from anywhere where there is an internet connection at any time day or night. Whereas in the past, accounting information was only accessible from computers that were included in the business’s network, today with cloud software, as the cloud is based online, the accounts are kept online for access from anywhere. This allows executives to go to outside meetings without the need to download any accounts on to their laptops where they could become a risk to the business’s confidentiality. The cloud of course only permits access to an account if the person requesting access has the correct account details which are only given at the discretion of the business owner or their relevant representative.