In simple words, cloud accounting means online accounting. Instead of accessing the software, you need to access your data or your programs over the internet from your computer’s hard disk you access it using the internet. If you have been using internet banking or any email accounting web-based service like Gmail, Hotmail, or Yahoo, you have already experienced the power of cloud computing.
So, instead of installing the accounting software from a disc to your computer, you can now open your favorite browser and start managing your financial transactions. The benefits of cloud accounting are numerous lets us look at it from the data security perspective.
Let us understand the common reasons behind data loss and how you can prevent it by using good cloud accounting software.
I know every smart businessman installs the best anti-virus solution but, virus makers are getting smarter every day. Your computers are just one infected USB away from getting that deadly virus you, now use another computer login. If not USB, it is the internet from where most viruses come these days. These viruses are difficult to remove, and sometimes wiping the entire hard disk at your computer is the only option.
Do you know about the aspect of another easy way to lose your financial data? Do not set up any access controls on your computer. If you do not know what this means, then I am sure you do not have these controls at your office. Anyone can accidentally delete important data even without evil intentions. Its often impossible to trace if someone copies important data from the computer. In this case of online accounting, nothing happens stored locally, and it is not possible to steal or copy data without authorized access to the software.
Many employees use the office internet more casually and often do not give much thought to making security. I do not take office computers are not protected by Firewall or internet security any software, some malicious sites can silently install malware on the system which can later harm your system and cause data loss.
We all know the importance of regular data backups now are not disciplined when it comes to being protecting our data. Even the backed up needs to be protected and organized in such a way that it’s easy to restore when needed. Many business owners understand this but still do not take the necessary steps to back their financial data.
In an unfortunate incident, one of my close friends once left his laptop bag in his car and stepped out to buy something just for few minutes. When he returned to his car, he was in a rude shock. The window glass does break, and his laptop bag was not there. Unforeseen incidents like theft or fire can happen at any time, and you might not get a chance to protect your data.