With the advent of cloud technology, every accounting firm is looking to move its operation to the cloud. Accounting software like Sage or QuickBooks are hosted on the cloud for better mobility and security. Other applications such as CRM, ERP, etc. can also be integrated with the accounting software. However, there is still a little bit of confusion on what type of hosting to choose for your business.
Broadly speaking, the hosting services can be categorized into dedicated or shared.
Shared Hosting – When you avail shared hosting, the resources in a server are shared by multiple customers. For instance, if four customers are hosted on a server with 8 GB RAM, 1 TB storage and a dual-core processor, each customer will share the resources among themselves. It can be availed by the customers that need affordable pricing rather than extensive specification.
Private or Dedicated Hosting – In the case of private server hosting, all the resources of the server are used by a single customer. It ensures an extra layer of security and optimum performance to your business.
In the cloud environment, the physical servers are replaced by the virtual servers. But the basic principle is the same. In the case of cloud hosting, the Virtual Machines (VM) are shared by multiple customers. If the customer wants the capabilities of the entire VM, he/she can opt for private server cloud hosting.
Recommended Reading: On-premise vs Cloud: What your Accounting Business Need?
Although the type of hosting you want to choose depends on the specifications you want for your process, an accounting firm that mostly deals with highly confidential data is recommended to choose private server cloud hosting.
Here are some of the features of the private server that make it an obvious choice for accounting businesses.
1. More Security
Major accounting firms handle vital information like billing information, invoices and balance sheets. Although, the cloud providers offer a secure infrastructure to all customers, whether it is shared or private hosting. Still, when you share the server with other customers, there is an element of risk as the other customers might not take the security practices that seriously.
With private server cloud hosting, you are the only business having access on the server. Hence, it adds a level of security to your process.
2. Dedicated Resources
In a private server, all the resources are utilized solely by your business. As an accounting business, you would not want any external factors to hamper your productivity. With shared hosting, as the resources are shared, other processes sharing resources with you might affect your performance.
For instance, if you are a tenant on the same virtual machine with multiple applications, the applications might use the majority of the resources and your accounting work could get hampered.
With private server cloud hosting, you do not need to worry about the performance being affected.
3. Easily Scalable
Cloud technology is known for its scalability feature. A virtual machine can be scaled as per your requirement. For example, if you want to increase the users of your Sage software, you can ask the hosting provider to change the specifications accordingly. In a cloud environment, scaling can be achieved almost instantly. Moreover, if you want to reduce the specifications of your VM, it can also be done.
In a physical server, all the hardware must be replaced for scaling which is a tedious task and costs revenue.
Installing accounting software like Sage on local systems does not give you the freedom of mobility. You have to sit in front of the physical machine to access your software. With private server on the cloud, you can access your business from any part of the world. Hence, even while traveling or out on a business trip you can keep a check on your business process.
5. Hardware Independent
Private server cloud hosting enables you to access your server from portable devices such as laptops, tablets, smartphones, etc. Since the accounting software is installed on the cloud infrastructure at a remote location the devices are needed only to access the private server.
Hence, if someone steals your device or if gets damaged, you do not need to worry. As the data is stored on the cloud, you can just access your software from another device.
6. Customization and Add-ons
An accounting process needs specific applications to work in tandem with the accounting software. For instance, you would want to use MS Outlook to access mails with your accounting software.
With private server hosting, all your add-ons can be integrated on the cloud with the accounting software. This creates a complete accounting solution, so you can access all the applications you desire in one place.
Hosting your accounting business process on a private cloud server ensures that you get saved from the tedious task of hardware maintenance. Since the hardware is located at the data center, all the IT related tasks are fully managed by the cloud hosting provider.
All competent cloud hosting providers offer dedicated support to their customers. You do not need to sweat in the case of an issue. The support team is always at your beck and call.
For instance, Ace Cloud Hosting offers 24*7*365 support to all their customers.
When you host your accounting software on a local system, it requires a certain specification. The system with high specification costs a lot of revenue and must be replaced as the software is upgraded.
In case of hosting on a physical server too, the hardware should be replaced manually if scalability is to be achieved. Private server cloud hosting has no such issues. Due to cloud infrastructure, the private server is highly scalable. It saves a lot of money on hardware infrastructure and the maintenance team needed to look after it.
What We Have Discussed So Far!
There are a variety of platforms on which you can host your accounting software. You can either install it on your local system or host it on a physical dedicated server. You can also opt for shared hosting on the cloud.
But the type of hosting that stands out among all the above-mentioned hosting services is the private server hosting on the cloud. It combines the security and robustness of dedicated server hosting with the flexibility and performance of cloud infrastructure.
For any accounting business, private server cloud hosting offers the mobility, performance, and productivity it needs to succeed.