Cloud computing refers to the scalable and elastic internet-based services that providers offer to many external customers. Today, most business people are not storing data and applications on their desktop computers or local networks. They are now opting for the cloud – a shared network of database servers and scalable applications hosted in many locations around the globe. Remote file management and software-as-a-service are among cloud computing applications. Here are some of the reason you need to use cloud-based software for your business.

Efficient data backup

As a business owner, you possibly know the benefits of backing up your business and personal data. Without data backup, you are likely to lose everything if a system failure or any other disaster happened. Apart from helping you simplify the process of updating your data automatically as you work, cloud storage creates many copies of the data off-site where it will remain safe from theft, natural disasters and malfunction.

Mobile working

Technology allows business owners to make fully functional offices, which they can access with their smartphone devices or personal computers. The cloud serves better in this area because business owners can access and sync their personal data and that of their businesses from any place. As a result, they can move with their office to any place and access information at any time. They can also request files from their employees.

Flexibility

After you start using cloud computing, you will realise that the business operations will be more flexible. You can outsource the routine IT operations such as the data backup/storage and start focusing on the main operations like website design and development. A quick example, you can rely on Hoxro.co.uk, which use cloud-based storage to develop software programs in the UK and focus on the value-added components of your business. With cloud computing, group collaboration will be easier. You can rely on freelance software engineers from all parts of the world if they can use virtual meetings and document sharing to collaborate on your projects.

Cost-effective

Businesses are able to avoid upfront costs associated with installing or purchasing hardware systems and software applications. This is more helpful for businesses that operate on tight budgets. They can now rent storage space and software applications if necessary and avoid the risks associated with the installation of expensive systems only to realise that they do not match the needs of their company. Cloud computing will turn the fixed costs of your business into variable costs. You will pay for what you need solely and leave what you do not need therefore reducing the fixed overhead costs.

Better performance

High-speed internet connections facilitate faster transfer of data and real-time communication between business and customers. An employee can log in from his/her home and communicate with the work colleagues in a different time zone. Cloud computing provides unlimited storage space and will free up your desktop processing capacity and storage. System crash or a lightning strike could easily destroy the business data you have stored in the local network but it will not affect any that you have stored in the cloud. With cloud computing, you will reduce energy costs due to the associated sharing of resources.

Cloud computing has several challenges. Use of cloud to store critical information and prevent loses in cases of a major network outage. For example, email service outages might leave your customers without the communication tools they need. Privacy is another concern because some criminal elements might access your personal data. Some companies are reluctant of using the cloud due to security issues such as information theft, computer hacking and unauthorised access to their sensitive data.