Is Hosted QuickBooks Right for You?

If you are currently using the popular QuickBooks desktop software, you now have a fairly new option available to you:  hosted QuickBooks.  In this article, we’ll talk about what it is, what type of businesses it’s right for, and how to get started if you decide it’s for you.

A Host of Opportunities

 

Hosted QuickBooks changes the location of your QuickBooks company file from your local computer to one of the dozen authorized QuickBooks hosting companies.  You then access your QuickBooks file through a secure Internet connection.  The good news is you continue using the exact same QuickBooks software, screens, forms, and reports that you are comfortably familiar with, so the additional learning curve is extremely low.   The two biggest differences are:

• You access your QuickBooks differently; instead of accessing your local software, you will access the same version of QuickBooks software via the cloud on a secure server provided by a hosting vendor.  You will most likely access your QuickBooks by clicking on a desktop icon or accessing a screen and entering your login information.
  
• The pricing is different.  Instead of paying a large software fee at the beginning and then optionally paying for annual upgrades, you pay monthly, like a lease.

There are a few other very minor differences, such as how you back up your file, how you print checks, invoices, and other forms, and how you interface with other software such as Microsoft Outlook® or Word®.  At most, the learning curve for each of these minor changes is five minutes top for any user.       

Who Benefits

You will benefit from hosted QuickBooks if any of the following are true:

• You, your team, your bookkeeper, or your CPA needs to be able to access your QuickBooks files from multiple locations.
• You are spending at least one hour per month restoring the file from one location to another.
• You have experienced errors in the past from backing up and restoring the company file or the Accountant’s Copy because of passing it back and forth among people who need to update it or to get information from it.
• You prefer to save the time it takes installing QuickBooks and applying the upgrades to QuickBooks software.  With hosted QuickBooks, the hosting vendor takes care of all of that.
• You do not have a recent backup of QuickBooks and forget to take backups on a regular basis.  With hosted QuickBooks, backups are a routine part of the process. 
• You’re great at working on the core items of your business, but want to reduce time spent on IT-related tasks. 
• You dislike or feel inadequate when it comes to technology, and you agree it makes sense to outsource as much as possible.    

Any Concerns

Hosted QuickBooks is great, but it’s not right for everyone.  If you feel “safer” with no one having access to your QuickBooks, then hosting it may not be right for you.  Although the data centers are far more secure than the PCs in most people’s homes and offices because they have to undergo a rigorous security audit to become a hosting vendor, some people are simply uncomfortable passing their financial data to others.  If you want to consider hosted QuickBooks and wonder about security, we’ll be happy to have a conversation with you about that. 

Hosted QuickBooks is also not right for people that are using very old software versions because you may be forced to upgrade to a newer version. 

Hosted QuickBooks is also not right for people who have much more free time than budget.  Although hosted QuickBooks is not particularly expensive, there is a cost outlay that will buy you time savings.  If the free time you gain (that you can apply to completing more important priorities in your business) is not valuable to you, then hosted QuickBooks may not be right for you.   

Getting Started

Before moving to a hosted QuickBooks solution, your accounting professional will want to ask you questions about how you are using QuickBooks, if they aren’t already familiar with your requirements.  Selecting the right hosting solution means evaluating:

• What version and line of QuickBooks you are currently using because this has to be exactly matched with the hosting vendor.
• What other applications access QuickBooks, such as online banking and payroll. 
• What add-ons you are using with QuickBooks, if any.
• What printers, Microsoft software, email software, and other peripheral needs you have when using QuickBooks. 

Once those answers are gathered, your accounting professional can provide you with some hosting solutions, costs, and implementation plans.  Most accounting professionals partner with one or more hosting companies so that you can get a seamless one-stop shop experience.  You may also be able to benefit from volume or package pricing through your accounting professional.       

If you are thinking that hosted QuickBooks might be right for your business, please email us or give us a call so we can talk more about it. 

Have You Been Hacked? How to Minimize Your Risk

Just about every day, we read in the news that another company has been hacked.  You might have already been directly affected by the password thefts at LinkedIn last year or Evernote this year.  Or you might have had your own social media account, email, website, network, or computer hacked.  Worse, many of you have been hacked but don’t even know it. 

So how can you minimize the damage and risk of hackers?  Here are several tips, some familiar, some not so familiar.  As you go through the list, check off the ones you’re already doing and make a list of new ideas to implement to protect your business and personal assets.    

Signing Your Life Away

Your signature might look great in a graphic in your email signature line, your website, or your newsletter, but it’s a huge risk.  You’re giving away your handwriting, and forgers can easily replicate, master your handwriting, and impersonate you.  To reduce identity theft, don’t publish your real signature anywhere. 

Money, Honey

Implement strong passwords on all of your financial accounts:  banks, credit unions, PayPal, credit cards, and your accounting system.  We know it’s painful, but do not use the same password for your financial accounts anywhere else, especially social media!  If possible, use a different password for each account to reduce risk further. 

What’s Your Password?

Here are some quick password tips:

·        Do not use your name, your pet’s names or your kid’s names in your passwords.  There’s just too much information available publicly to do that safely anymore.  Mix up letters, numbers, capital letters, and special characters, if they are allowed. The longer, the more secure; most apps require at least 8 digits.  Change passwords quarterly to be on the safe side. 

Password Storage

Most apps that help you save time with passwords are NOT safe!  Here’s what we do and don’t recommend: 

DO:

·         Password-protect your computer, even though you don’t have to.

·        Keep a separate file of your passwords on your computer, but DO password-protect that file and make sure it is not shared with anyone on a network.  Also name the file something totally unrelated like bio, letter, or goulash recipe; do not name it “passwords.doc!”

·        You can also keep a record of your passwords offline, but be sure to lock it up in a safe. 

·        When you make file and disk backups, be sure those are locked up and password-protected too.  They will no longer have your PC password to protect them. 

DON’T:

·        Don’t give in to your browser or any website when it asks to remember your user ID and password, especially for your financial accounts or client information.  All of the major browsers have been hacked – Internet Explorer, Chrome, Firefox, and even Safari.      

If you use password management applications, proceed with caution.  Be sure you have properly vetted their security claims.  Most of these are simply form fillers that are not safe.    

Vulnerable Applications

Avoid leaving vulnerable PC ports open and unattended, including chat, messaging, FTP (file transfer protocol), Skype, webinars, Google hangouts, video sharing, and the like. It’s like having all the doors and windows unlocked in your house; an intruder has a lot of choices for easy entry.  When you are on these more vulnerable connections, shut the others down, and close the applications you don’t need.  Then log off when you are done. 

A Plug for Software      

As soon as a hacker has found a new exploit, the software companies will learn about it and make an update available within days.  The hacker community is tight;  other hackers will look for software that is not updated and exploit the hack.  Avoid the copycat hackers by staying on top of your software updates, not just your anti-virus, but also your Microsoft and other software updates.  Doing this will eliminate a great deal of the risk out there. 

New Users

If multiple team members need to access your software, consider setting up additional users rather than having one account.  If one person gets hacked, the others will likely still have access and can react quicker to the intrusion. 

Stay Safe Out There

How many of these are you already doing?  Give yourself a reward, and then get busy implementing the rest so you can stay safe.