Businesses of all shapes and sizes are turning to digital technology in the 21st century to increase their profitability. Cloud-based financial software platform providers offer many of the benefits that traditional onsite hardware solutions can’t. They include lower upfront cost, scalability, flexibility to shift where your data is stored (e.g., in a disaster scenario), quick installation time, better security practices for data protection from cybercriminals or hackers, as well as the ability to eliminate costly on-site hardware requirements.
Cloud-based financial software also helps improve your productivity and efficiency, which is especially important for small businesses that want to beat out their competition with cost advantages while delivering better customer service. This article will explore why Cloud-based Financial as a Service (FaaS) is an essential technology for any SaaS business looking to stay ahead of the curve.
What is Cloud Computing?
Cloud computing is a term used to describe the storing and accessing of data on servers hosted in remote locations. Cloud computing also relies heavily on virtualization, allowing users with access to tap into applications and storage without having physical hardware locally available. All they need is the proper access credentials and an internet connection.
Software as a Service (SaaS) businesses are increasingly turning towards the cloud for their computing needs. Cloud-based platforms offer a number of advantages:
- Cloud providers typically charge on a pay-as-you-go basis, so as usage increases, the costs go down without going into any debt;
- Cloud services allow SaaS businesses to quickly scale up and adjust capacity in response to changes in demand;
- Cloud computing is typically more secure than on-premise systems.
What Is Cloud-Based FaaS?
Cloud-based Finance as a Service, or FaaS for short, is an online service that can be accessed remotely and reliably from any device with internet access.
FaaS systems are designed to provide easy data entry of financial information such as balances and transactions in real-time without the need for complex integration software development efforts by the company. Cloud operations also allow companies to work from anywhere without worrying about the security of their sensitive data.
Financial cloud-based platforms can be used to build a low-cost, high-quality financial application without the need for expensive finance staff. Cloud platforms are an excellent solution for any company that does not have much of its own data and wants to provide its customers with accurate information at all times.
Cloud-based FaaS systems can help SaaS companies optimize their operations and processes, which in turn leads to cost savings. Cloud operations also allow a company to scale more easily than if they were using onsite software development efforts.
Financial cloud platforms are the future of finance as a service for any small business or startup looking to optimize its processes and lower costs without sacrificing reliability.
How Financial Cloud-Based Platforms Increase SaaS Companies’ Productivity and Efficiency
Cloud-based Financial as a Service (FaaS) has become an increasingly popular option for software startups and businesses looking to optimize their productivity, efficiency, and operations. Cloud-based FaaS systems help SaaS businesses optimize their processes, lower costs, and scale operations.
Cloud accounting software is an excellent example of how cloud-based solutions can improve financial management for companies in the ever-changing world of business technology. There are plenty of benefits to using Cloud Accounting Software, including increased productivity, tools like invoice reminders, accounting reports, invoicing, automated financial data backup, and improved security measures – all of which are crucial for business growth.
Cloud-based FaaS systems help SaaS businesses optimize their processes, lower costs, and scale operations by providing a streamlined solution to the complexities of financial management while also reducing any inefficiencies inherent in more traditional, non-cloud-based financial management systems.
Below are several ways how cloud-based FaaS platforms improve performance and efficiency.
When it comes to productivity and efficiency, there is one thing Cloud-based Finance as a Service can do that traditional finance software cannot: Cloud computing offers increased collaboration.
That’s because the cloud enables remote data storage, which means you have easy access to your information from anywhere with an internet connection. This includes any other team members or stakeholders who may need access to the data. Cloud-based finance as a service offers an entirely new level of workflow automation, and that’s just one way it can help you increase productivity in your business.
When you store documents on the cloud, they are accessible from anywhere with an internet connection – which is great for collaboration purposes when more than one person needs to work on a file. Cloud-based finance as a service also offers the ability to automate processes, so you have more time for other tasks and less stress managing your workflow.
Enhanced Data Security
If you are worried about the security of your data, take heart: Cloud computing offers an enhanced level of protection that traditional IT architectures simply cannot. Cloud-based FaaS systems have been built with redundancy and high availability in mind from the ground up to provide a reliable solution for storing sensitive data without worrying about power outages or hardware failures.
Cloud-based FaaS systems are also designed with built-in security measures to safeguard against data breaches and malicious attacks, like intrusion detection or firewalls. This means Cloud-based FaaS systems are a secure and reliable solution for storing sensitive information.
Lower Operational Costs
Cloud-based FaaS systems offer significant savings for businesses, as they can cut infrastructure costs by anything between 66% to up to 95%. Cloud hosting services are cheaper than regular servers because there is no need for a dedicated data center. Moreover, using virtualization technology – such as AWS Elastic Cloud Compute and Microsoft Azure Cloud Services Platforms – it’s possible to run multiple applications on one server.
Cloud-based FaaS systems can help companies lower their operational costs and increase productivity as they’ll be able to focus more of their resources on developing software products rather than having to manage IT infrastructure.
It’s important to keep in mind that:
- Cloud hosting services are cheaper than regular servers because there is no need for a dedicated data center
- Cloud computing offers significant savings for businesses by cutting infrastructure costs and allowing them to focus more on developing software products. Moreover, it can help companies lower their operational costs, which will be an important consideration when deciding whether or not to adopt Cloud-based FaaS systems.
Easy Scaling Opportunities
One of the best benefits Cloud-based FaaS systems have to offer is that they allow you to pay for only what you are using. You don’t need an expensive server, and with a Cloud-based FaaS system, your budgets can be as flexible as needed. Cloud-based FaaS systems allow you to scale your services with ease and without the need for an onsite server.
No matter how much Cloud-based FaaS a company needs, they can pay as needed through different subscription plans that are available for most Cloud Management Systems. Cloud-based FaaS is perfect because it allows you to only pay for Cloud-based resources when required, which is helpful with the increasingly unpredictable nature of cloud services.
The Cloud Management System itself will most often have a fixed monthly fee in addition to any per gigabyte or per server charges on top of this. Cloud management systems are scalable and can easily grow with your needs as they change. With Cloud-based FaaS, companies can have the technology they need for a fixed monthly fee with no additional costs and are free to scale up whenever is necessary – or go down when workloads decrease.
This all means Cloud-based Financial Cloud Services Platforms make it easy to start small but be ready for growth at any time. Cloud-based FaaS is also a cost-effective solution for those who are looking to keep their capital investments low.
Cloud-based Financial Service Platforms provide the opportunity and flexibility for businesses of all sizes to grow with ease no matter what stage they are at in development or if it’s public, private, or even non-profit.
Internal and External Reporting
Internal and external reporting is one of the key features that a SaaS organization should be considering when it comes to Finance as a Service. Cloud providers will often offer their own in-house reporting tools, which allow for both internal use (analysts) and externally with investors or even customers.
Cloud-based FaaS systems will typically offer a range of reports, from simple budgets to more in-depth financials.
Cloud providers are already ahead when it comes to the latest technology and tools like cloud computing. Cloud companies have access to all sorts of different data that is not available on-premises, such as metadata/records management or data protection, which are essential for the operation of a Cloud provider.
Internal reporting is usually broken down into two parts: basic reports and in-depth financials. Basic reports will include data on expenses, income, revenue, and projections – all key figures that allow managers to understand how their organization is performing financially.
SIMPL is an acronym for the three main capabilities:
- Simpler Accounting
- Cloud Payments (including invoicing)
- Capital and Cost Management (including credit facilities)
Connected through an API, the SIMPL Cloud-based FaaS platform enables all modules to work in unison and eliminate duplicate data entry.
SIMPL Cloud-based FaaS is a complete accounting solution that allows seamless integration with any SaaS product or service – including invoicing, CRM (Customer Relationship Management), and project management.
The Cloud-based FaaS platform can provide capital for SaaS startups with a credit facility, which includes the ability to remotely draw funds from any bank account in your country of residence.
Get a free trial to find out how the SIMPL platform can help your company!