How do on-line accounting applications work?
Many accounting software firms are now offering their software in an ASP format (application service provider). Instead of purchasing software, installing it, and paying for upgrades on an annual basis, you may choose to “rent” the use of the accounting software and use it over the internet. Advantages include: • No installation, patching or maintenance issues • You’re always using the most recently updated version • You can have secure access to your financial accounting system from anywhere, in or out of the office • Multiple users can access the system to update it • If the ASP is reputable and experienced, you don’t have to worry about security or disaster recovery Disadvantages include: • Your use of the application depends on the viability of your internet connection; if your service provider experiences a failure, or if a fibre optic line is cut, you can’t access or update your accounts • Performance can be slow, especially at peak times when internet traffic experiences bottlen
