5 key facts about cloud accounting in Australia

Cloud computing is having a huge impact on businesses across Australia. A growing number of organisations are looking to cut costs, streamline processes and boost productivity using innovative software and platforms.

But these are just words. What about the numbers? Let's explore some of the most recent research to see why so many businesses are turning to cloud accounting solutions.

1. '78 per cent of businesses can't live without accounting software'

Figures from Canstar Blue show that nearly four-fifths of businesses have described accounting software as critical to their operations – and they ranked Xero's cloud-based products as the best in the market. Over 40 per cent of respondents said accounting software has contributed directly to growth.

2. '16 per cent of businesses want to interact solely through software'

A small but growing number of businesses want to interact with their accountants solely through software in the future. They believe automation of certain tasks will enable their accountant to spend more time adding value to their business through broader advisory services. More than one-quarter of organisations (27 per cent) already seek business advice from accountants.

3. '83 per cent of accountants have a cloud-based practice'

Australian accountants are keeping up with demands from tech-savvy clients, with 83 per cent adopting cloud-based practice management software. The Sage figures, published by iTWire, noted that 68 per cent of firms claim to invest in the best technologies possible, including cloud technology, to optimise services.

4. '50 per cent of accountants expect the majority of clients to use the cloud soon'

Currently, 29 per cent of accountants say that more than half of their clients use cloud-based accounting products, according to Smithink data published in the Australian Financial Review. However, this figure is expected to climb to 50 per cent by the middle of this year, while 24 per cent of accountants will have three-quarters of their clients accounting in the cloud by then.

5. 'Cloud computing will be biggest-impact technology over the next five years'

Australian organisations have predicted that cloud computing will be the digital technology that has the greatest transformative effect on their business over the next five years. The Microsoft Australia survey showed respondents ranked the cloud above the Internet of Things, artificial intelligence, virtual reality and quantum computing.

These are just some of the facts about cloud computing and accounting software that studies have unveiled over the last year. But if you'd like to know more, please contact WMC Accounting today.