QuickBooks is an accounting application used by CPAs, accountants, bookkeepers, and financial professionals. It is used to manage sales, create invoices, track bills and expenses, simplify taxes, and handle other accounting needs.

Although it can be installed locally on a desktop, doing so has its limitations that can limit your efficiency and hamper productivity. QuickBooks hosting is a cloud-based solution that helps you bypass these limitations and build a complete business solution.

Let’s have a look at how QuickBooks desktop hosting can overcome the limitations of locally installed Quickbooks:

1. Limited Accessibility

One of the drawbacks that everyone faces while using a locally installed QuickBooks is the limited accessibility and local storage of data. In locally installed QuickBooks, the software is installed on a local desktop, which is not accessible remotely.

Suppose due to an unprecedented emergency, like adverse weather conditions, a sudden pandemic (emergence of COVID-19 has clearly shown us that such situations can’t be ignored anymore), or an accident at the workplace - employees will be unable to access their QuickBooks data.

In QuickBooks hosting, licensed versions of the software are installed on authorized remote servers that can be accessed via the internet. All you need is a secure internet connection, a web browser, and authorized access - you can complete your accounting tasks from anywhere.

So if it's from the comfort of your home or you need to check on something while on vacation, you can easily access your data from anywhere, anytime with QuickBooks hosting.

2. Limited Business Growth

Another issue one faces while using locally installed QuickBooks is limited business growth. You need to set up your IT infrastructure, rent or buy office space, pay for its maintenance, and optimize your employees’ working hours. If you want to expand your business to another location, you have to go through all these troubles again while setting up a branch there.

All this requires a considerable capital investment and also offers the same limited room for growth.

However, when you go for QuickBooks dedicated hosting, it allows you to expand your business with minimum investment and reap greater profits in return. Using it, you `can:

a) Create flexible working hours for your employees as they can access QuickBooks from their homes.

b) Open the door to ‘work from home’ opportunities for skilled personnel who are unable to physically access the office or live in different states or countries.

c) Create a larger customer base as the client’s data can be uploaded and accessed from anywhere.

3. Cutting Down The Costs

Using locally installed QuickBooks carries its share of expenses that affect your organization’s profit-loss balance. Maintenance of your workplace, finite client base, a narrow employee pool to choose from, and limited access to data are some of them. Another hurdle that every budding accounting firm or SMBs face in setting up the locally installed QuickBooks is the initial cost.

Development of an advanced IT infrastructure that includes setting up in-house servers, computers, and hiring IT professionals for its maintenance makes it less budget-friendly for those who are new to the business.

Using QuickBooks hosting helps you cut down on the costs above. The hosting provider takes care of all of your IT needs. They offer their IT infrastructure and a team of IT professionals who looks after its maintenance.

All you need is to pay the hosting fees without worrying about your IT expenses. Also, QuickBooks hosting offers more flexible scalability options at reasonable costs. For instance, you can upgrade your storage capacity by simply intimating your service provider about your growing needs.

4. Better Data Security

Using a locally installed QuickBooks carries a great deal of risk when it comes to handling your precious data. A DDoS attack on your server, malware, or even physical damage to your data can lead to a severe loss of confidential data, causing serious financial losses. To prevent such incidents from happening, one must considerably invest in disaster management solutions, something that can be uneconomical for newly setup SMBs or accounting firms. Since your data is also prone to physical theft, you need to hire additional security for its security.

However, when you invest in QuickBooks hosting, you don’t have to worry about your data's safety. Usage of QuickBooks hosting allows you to minimize data loss. Hosting providers offer various benefits such as internal firewalls, data encryption, readily available backups, intrusion detection, and physical security to the servers.

The host also maintains multiple storage centers, so even if there is a physical calamity like fire or earthquake, they make sure that your data remains safe and well protected.

5. Multi-User Access

Sometimes, a team of accountants needs to collaborate on a project - the data should be managed according to the client’s requirement. It is also necessary to have active communication with the client as well - sharing files back and forth for corrections and adjustments creates lots of confusion.

Also, it takes up a lot of storage space on your local system as redundant copies of the same files are stored in the process of cycling data back and forth. The desktop version of QuickBooks doesn’t support multi-user access and real-time access to data, making collaboration difficult.

Using QuickBooks hosting simplifies this problem to a great extent. All the changes which are made in the data get updated on the cloud in real-time - all those who have access to the cloud can view them. Also, multiple users can work on the same file simultaneously. This saves storage and makes collaboration among the employees (and the client as well) seamless and hassle-free.


Real-time access, better data security, efficient handling of client data, and easy collaboration are some of the features one gets to experience when they host their QuickBooks on the cloud.

QuickBooks hosting combines the best features of the desktop version and cloud hosting. It creates a platform for your accounting needs - allowing you to generate higher revenue and grow your business well. So, next time you need a hassle-free accounting experience, QuickBooks hosting is suitable for your needs.

Author's Bio: 

Bhavleen is a writer at Ace Cloud Hosting – a leading hosting provider for tax software, with several years of experience in the cloud industry. She loves to research on various technologies and has a firm grasp on topics like Accounting, ERP, VDI, and HIPAA.