The Advantages of Using a Cloud Hosting Service for Your QuickBooks Account

Published November 30, 2022
cloud hosting serivce for quickbooks

When you order food from Uber Eats, you’re the client, and Uber Eats is your server. Similarly, when you’re using QuickBooks to generate monthly payroll for your employees, the software is hosted on a server that helps you receive the information.

In the case of QuickBooks, the server could be both on-premises and on-cloud. In this post, we will talk about cloud-based QuickBooks hosting in particular, and we’ll see why it’s a better option:

What is Cloud Hosting?

By definition, cloud hosting refers to the procurement of computing data and resources from a cloud server onto your local server or personal computer. The practice requires using a network of remote servers to manage, process, and manage data. All the processes are hosted on the internet.

Cloud hosting is also described as an “Infrastructure as a Service” delivery model that provides virtual services. The QuickBooks cloud hosting service is enabled through virtualization by a cloud hosting provider and is then distributed to multiple users at the same time. In this case, the virtual hardware, storage, network, and other related composite solutions are all hosted by the vendor. In addition, cloud hosting also combines the capacity of a number of servers into one powerful cloud hosting server.

Cloud-Based vs. On-Premise Servers

QuickBooks services are either available through cloud-based servers or on-premises servers. As opposed to cloud-based servers, an on-premises server is physically present within the office facility. It is also managed and maintained individually by the company.

Let’s see how the two options compare:


In terms of cost, on-premises QuickBooks hosting requires a huge initial capital investment. This is because the cost of installing, maintaining, and running the hardware is borne by the company.

In order to accommodate the extensive physical hardware, you’ll also need additional space. If you’re a startup that’s trying to achieve breakeven, this might not be financially viable. Hence, an on-prem QuickBooks server will be a lot more expensive option.

Let’s just not forget that you might not have the right personnel to manage and maintain the system in-house. It’s not possible for your in-house technicians to be able to deal with QuickBooks troubleshoots. In this case, there will be a higher cost associated with the recruitment, training, and payroll of these professionals.

On the other hand, in the case of cloud computing, you’ll be only required to pay the monthly pre-decided subscription fee. The rest will be handled by the vendor. The monthly costs may increase as you grow and acquire more modules.

Data security 

Data security is an important component of business financials. It helps you maintain the integrity and confidentiality of sensitive business information. When you’re handling data security on your own, it’s more of a manual process. This has both—an upside and a downside. On the upside, you get to exercise greater control over your data security.

On the downside, you might not have the right expertise to secure your network on your own. Data security includes the use of highly specific technologies, algorithms, and monitoring controls. Most small to medium-scale enterprises don’t have access to any of these areas of expertise.

In the case of cloud computing, privacy, and confidentiality will be catered to by the vendor. QuickBooks cloud solutions rely on third-party security measures that are automated and professionally managed.


Businesses don’t exist in the market to make money. They exist to grow, to outdo their competition, and to be the market leader one day. As businesses grow, a number of things change—this includes the size of their workforce and the scale of their operations.

When your business goes from the startup phase into the expansion phase, you will need to upgrade the accounting software that your company uses. This is done to support a greater number of transactions and bigger data sets. Hence, it’s more feasible to invest in a QuickBooks variant that supports growth and is flexible.

In the case of on-prem servers, you’ll have to hire manual labor to install the additional hardware and software. All the scaling up will take up too much effort on your part and might even disrupt your routine operations.

Cloud computing is more flexible in terms of growth. You will have to pay the cloud hosting provider, and they’ll upgrade your system to a more advanced version. This means less hassle and hard work for you.

If you’re wondering when to get QuickBooks cloud hosting services, now is the time. gotomyerp is here to help you along the way. We are a renowned QuickBooks hosting service that helps both small and medium-scale businesses. Get in touch to learn more.