Cybersecurity and Cloud Accounting Software

The world of cloud accounting software is a fast-moving one. In just a few short years, cloud accounting software has become the norm for most small businesses. But there was once a time when cloud accounting seemed like an insecure option that would leave your clients vulnerable. If you’re wondering how secure cloud accounting software is today, we’ve got all the answers you need!

Modern cloud accounting has a good track record of security, plus lots of features to ensure your data is protected. For example, both Sage Intacct and Acumatica use encryption to protect their customers’ data sent via or stored on servers. Even if someone broke into your systems, they wouldn’t be able to access your data because it would be scrambled and unreadable. It can only be decrypted by the right person (i.e., you).

As long as you take precautions like: 

  • using strong passwords with unique numbers and letters in them (and avoiding any easy-to-guess passwords such as birthdays or names), 
  • keeping up-to-date antivirus software installed on all devices connected to Wi-Fi networks within your office building (including phones); 
  • and checking for updates from time to time on those same devices so that any potential vulnerabilities can be patched up before hackers have an opportunity to exploit them.


The security concerns that clients had in 2008 are understandable

It’s understandable that users were concerned about cloud software being new and unproven. Today, however, it’s a different story. The technology that underpins cloud software has evolved significantly since the advent of cloud computing. It’s incredibly reliable now and is stable even in the event of an internet connection loss. It also provides more security than traditional accounting solutions did because it uses encryption and other measures – including the physical security of servers – to protect your data from hackers or other threats.


One thing clear about its security value – it works

It’s easy to see how cloud accounting software became a huge part of daily business. The flexibility offered by cloud-based solutions is something that allows businesses both large and small to run operations more efficiently than ever before. It also helps companies stay competitive in an increasingly digital world.

What makes this possible? The answer lies in what makes up cloud computing: a network of connected servers and storage devices that provide reliable access to data from anywhere, at any time. You don’t need desktop computers running on your premises anymore — they’re all hosted elsewhere (like The Answer Company’s servers). This also means that multiple users can have access to one instance of an application simultaneously — no more waiting around for another person working on the same file as you!


Higher chances of data compromise if the server is on-premises

The fact is that the chances of your data being compromised are much higher if you’re storing your accounting data on a server or desktop computer. This is because those systems are connected to the internet, where hackers can easily access them through viruses and malware. In contrast, cloud accounting software is an entirely separate system that’s designed to protect itself from such attacks.


Convenient and easy to use

As a cloud accounting software user, you don’t need to be especially worried about getting hacked. (That being said, cybersecurity awareness training and vigilance are great defenses). Even if you lose internet connectivity, or if your machine is turned off, the data stored in the cloud remains secure and accessible. 


The bottom line is that if you’re concerned about the security of your data, then cloud accounting software is the best way to safeguard it. 

What cloud options are available for your business? Chat to one of our tech stack experts to get a free, personalised demo and project discovery.