On-Premises or Cloud Accounting Software?

1. Personnel: IT staff is available and familiar with the equipment, its configuration, security parameters, and back-up plan.
2. Access: In-house resources and knowledge exist to establish and maintain a secure connection for employees who work on premises or remotely.
3. Licensing: Purchase the software license up-front, then pay annual maintenance and software support. Generally, the purchase cost is recognized as a capital expense.
4. Hardware: IT infrastructure is in place including server hardware, system software, disaster recovery plan, remote access, and network connectivity.
5. Implementation: Depending on the size and scope of project the average implementation is 8-12 weeks. IT staff works with the software provider (or a third party) to install, configure, and implement the software.

1. Personnel: Reduces demands on internal IT staff. Provider maintains the hardware and performs software upgrades.
2. Access: Workers can log on from anywhere with an Internet connection. Eliminates the need for client and remote servers.
3. Subscription: Pay fewer up-front costs, then a monthly subscription. The subscription fee covers use of the software and IT infrastructure. In many cases, the cost is recognized as an operational expense.
4. Hardware: Eliminates the equipment and support costs associated with a company-owned server. However, access is dependent upon having a reliable Internet connection.
5. Implementation: Timelines are shorter than on-premises. The vendor hosts the software in a secure cloud environment and configures it according to the customer's specifications.

Whether you're just starting to explore your company's options, or want to have an in-depth conversation about on-premises vs. cloud accounting software, we can help.

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