Mr. Gupta runs a retail shop in Mumbai. One fine day, when he started his computer to enter sales transactions, he was in a rude shock. He was unable to open any program and some casino advertisements with nude ladies were flashing all over the screen. His computer was infected by a virus and the worst part is, his trusted anti-virus software couldn’t even detect it. He was left with no other option to format entire computer to clean the virus. Yes, he lost all his financial data just like that.
Sounds familiar? We often think that our office or home is the best place to store data but its just a notion – a false notion. We don’t take enough measures to safe-guard our financial data. So, whats the solution?
More and more small businesses are now using Cloud Accounting to addresses various data security issues. It not only helps them save some cost but also gives flexibility to work from anywhere.
What exactly is Cloud Accounting?
In simple words, cloud accounting means online accounting. Instead of accessing the software from your computer’s hard disk, you access it using internet. If you have used internet banking or any email 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 just open your favorite browser and start managing your financial transactions. Benefits of cloud accounting are numerous, lets look at it from the data security perspective.
What can cause data loss and how cloud accounting can help?
Lets understand the common reasons behind the data loss and how your can prevent that using a good cloud accounting software.
1) Computers are vulnerable to the virus attacks.
I know every wise businessman installs a best anti-virus solution but virus makers are getting smarter everyday. Your computers are just one infected USB away from getting that deadly virus. If not USB, its the internet from where most viruses come these days. These virus are difficult to remove and sometimes wiping the entire hard disk is the only option.
As there is nothing to be installed in case of an online software, your data is safe in cloud (virtual servers) even when your computer is affected by a virus. You can just use another computer to access the application.
2) Weak or No Access Control are serious threats
Do you know another easy way to loose your financial data? Don’t setup any access controls on your computer. If you don’t know what this means, then I’m sure you don’t have these controls at your office. Normally, we have only one easy-to-remember (and guess) password to unlock our computers and its often shared with other ‘trusted’ colleagues. Its often ‘okay’ to plug in USB drives to transfer data (and movies and songs). Anyone can accidentally delete important files even without evil intentions. Its often impossible to trace if someone copies important files from the computer.
In case of online accounting, nothing is stored locally and its not possible to steal or copy data without an authorised access to the software.
3) Free internet can sometimes turn out to be expensive
Employees use office internet casually and often do not give much thought to the security. If office computers are not protected by Firewall or internet security software, some malicious sites can quietly install malware on the system which can later harm your system and cause data loss.
All reputed cloud accounting software providers use secure HTTPS connection with strong encryption levels. Firewall systems protect the data from online introdures.
4) Backups are taken only after data loss
We all know importance of regular data backups but are not disciplined when it comes to actually protecting our data. Even the backed up needs to be protected and organised in such a way that its easy to restore when needed. Many business owners understand this but still not take necessary steps to back their financial data.
Cloud accounting software providers take periodic backups and have systematic process to retrieve the backups when needed.
5) Unforeseen incidents
In an unfortunate incident, one of close friends once left his laptop bag in his car and stepped out to buy something just for few minutes. When he returned back to his car, he was in a rude shock. Window glass was broken and his laptop bag was not there. Unforeseen incidents like theft or fire can happen any time and you might not get a chance to protect your data.
According to this wikipedia article, business lose billions of dollars every year due to computer viruses alone. In such instances, even if you lose your laptop or computer, your financial data is safe in the cloud.
How Cloud Accounting is more secure..
Cloud Accounting service providers like ProfitBooks store their data on more sophisticated infrastructure which is way more powerful and secure than office computers.
Cloud servers are protected by strong anti-virus tools and are monitored 24×7 by dedicated team of professionals.
Cloud data centers utilize state-of-the art electronic surveillance and multi-factor access control systems. Data centers are staffed 24×7 by trained security guards, and access is authorized strictly on a least privileged basis.
Backup process is very disciplined and historic data can be restored within few minutes if required.
Systems are designed to minimize the impact of disruptions to operations. Multiple geographic regions and Availability Zones allow you to remain resilient in the face of most failure modes, including natural disasters or system failures.
Such cloud infrastructure is regularly undergo third-party certifications and evaluations. Each certification means that an auditor has verified that specific security controls are in place and operating as intended.
More and more business are embracing Cloud Accounting softwares like ProfitBooks which are not only more secure but affordable too. Best part is, businesses do not need to invest time and money to ensure data security.
Financial data integrity and security is a top priority for any business and cloud accounting softwares offer a perfect solution which leads to only one thing – Peace Of Mind !
Register With ProfitBooks For Free Now!