Cloud computing services are becoming popular among small and mid-size businesses as they are affordable and reduce the complexity of managing computer software and hardware. Enterprise resource planning systems have become prevalent among most of the companies for managing business resources efficiently. Based on research in the USA, the rate of small businesses, using cloud computing services is anticipated to increase by 43% in the coming six years. No doubt, the big capital investment behind on-premise ERPs is the reason. But Cloud-based ERP solutions are affordable.

Below are the described reasons for adopting Cloud-based ERP solutions:

Security

Every company’s data is vulnerable to attacks. And cloud solutions providers make sure they offer solutions packed with utmost security. So, don’t worry about the security of data in the case of cloud ERP solutions.

Enhance productivity

Choosing cloud-based ERP solutions helps in increasing productivity. Small businesses also have to take care of software maintenance, training, and upgradation etc. However, in the case of cloud ERPs, all of these tasks are handled by Cloud ERP vendors. Employees can now focus on the other vital activities and doing and thus, it will increase the productivity.

Less initial costs

On-premise ERP solutions involve a huge capital investment. Small businesses have low budgets to invest in ERP software solutions. Cloud-based ERPs are popular due to fewer expenses. In fact, subscription fees of cloud ERP solutions are not budget-friendly. In addition, there is no need to pay for annual maintenance fees.

No additional costs

As these cloud ERP solutions demand you to pay subscription charges month wise, they don’t involve any additional or unanticipated costs. Companies are free from the trouble of cost overrun incidents. Moreover, their maintenance is also low-cost.

Upgrade automatically

Cloud ERPs get upgraded automatically by vendors as there are single source codes and multi-tenancy features.

Agility

When compared with on-premise ERP systems, cloud ERP software is flexible to adapt to changing needs. Plus, Cloud reps can be accessed on mobiles which makes it accessible at any time. Users can use cloud ERP wherever they are. It makes it a fast technology too.

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