Why You Should Manage Your CPA Practice on Cloud?
We all know that a Certified Public Accountant (CPA) has to assume multiple roles and wear many hats. Client accounting services are truly mind-draining and are a labyrinth to understand. Transactional bookkeeping is tedious, and doesn’t matter how sharp you are, may always be full of errors.
What would you do if your clients’ data just suddenly goes missing? The solution would be- ‘ditch traditional bookkeeping and opt for web-based applications that work on cloud computing.’
Cloud has become an integral component of virtually everything in the U.S, and managing your accounting practice through cloud-based accounting software like QuickBooks is more economical now than ever.
More Mobile, Instantly Accessible
From traditional professional programs to online banking programs for consumers, all the services are stored on the cloud and instantly accessed from anywhere. This mobility makes cloud the modern agile programming service that is hosted on remote servers under your control.
How Is Cloud Revolutionizing the CPA Practice?
Hailed as the new addition to growth & innovation wave, cloud technology is growing by leaps and bounds. Single ledger, open API’s, bank feeds, and other bookkeeping processes have been augmented by technology. The result is that cloud has transformed the CPA practices for successful business growth.
The Benefits
Improved Productivity
The ability of the cloud software to auto-update data in real-time, provide current versions of the work saving precious time from business hours on more quantitative work.
Easier to Manage Changes
The documented history, stats, graphs, charts, and features can be highlighted by just a few clicks. The changes can be reverted and rolled-back in real-time, making the process less jumbled.
Reduced Technology Headaches
Licensing models and version problems are handled by the service provider when hosted on the cloud. CPAs with limited knowledge about technology can also use these cloud apps.
Ensures Clean Data
The data for the initial preparation required in audit and tax is clean on a real-time basis. So as and when the CPA is called to ‘fix’ the clients’ mistakes, the core work required is streamlined.
Makes You Indispensable
Transactional services and the service to provide advice and direction with proper stats make you an indispensable CPA that the business can’t do without.
Earn Greater Profits
The top-level planning and CFO services provided by the cloud carries a high-profit margin that overlaps the core services of a CPA (taxes and audits). The more valued advisory services are provided by leveraging real-time transactional information as a foundation.
Real-Time Metrics
Sharing and preparing cash flows, tax statements, and earnings simultaneously lead to improved transparency in work through real-time metrics. The errors in financial reports can be reduced by analyzing the information. The same information can be the decisive factor when advising the client.
Cost Savings
Unnecessary expenses on server failures, maintenance, and other associated costs are eliminated because when your CPA practice is on the cloud, which has lower capital investments and operating costs.
Data Backups
The time-consuming mishap of losing valuable data is mitigated by providing automatic backups on a regular basis on the cloud. The critical data is safe from natural disasters and can be accessed at times of cyberattacks too.
Enhanced Security
Computer system failure and natural disaster protections are provided by the cloud, which diminishes the possibility of data loss. Security measures like login management system, multi-factor authentication, and data encryption protect sensitive data.
Eco-Friendly
By minimizing the requirement of hardware on their premises, accounting CPAs can contribute to the environment. Fewer expenditures on the use of energy-efficient equipment and fewer carbon footprints lead to a reduction in power consumption and optimum energy utilization.
Builds Stronger Team-Client Relationships
The efficient virtual file sharing, trading & editing source documents, spare time, and hassle. The teams or clients can collaborate better through access across all devices- app, mobile, and laptops.
Better Quality Control
All the files are shared centrally in cloud, which enables the firms to view & edit them as per the requirement. By granting permission for each user according to the work assigned to them, there is better quality control than the traditional accounting process.
End Note: Four Steps to Move to Cloud
First Stage
In order to become a trusted advisor to your clients, focus on moving the business strategies to cloud as it has all the necessary tools for attaining this goal.
Second Stage
Security is a prime concern for most CPAs as they deal with sensitive information & data. Overcome your fears of security as most cloud service providers have watertight security.
Third Stage
Filter-out clients to move to cloud-first, starting with companies that don’t have custom needs, a lot of transactions, and stock control. We’d recommend you to shift the technology-savvy companies and SMBs first as they are the ideal companies for a smoother transition.
Fourth Stage
Finally, move the accounting process online to read and adjust your process according to the cloud system. Then ask your clients to make the same transition for a seamless shifting-process.
