March 25, 2020

Is Your Data Safe with QuickBooks Online?

Small Business
Ronald B. Allen

Data is a critical asset for any successful business. Companies that experience significant data loss very often (94% of the time) never recover and may end up shutting their doors (60% within six months). Today many businesses work in the cloud. They use programs like QuickBooks Online to process and store their important financial information online. But, is your data safe with QuickBooks Online? You may have read that you may need a Microsoft Office 365 backup plan for emails and more. Do you need this for QuickBooks Online as well? The short answer is no but that does not mean that you need not pay attention to data storage. Here are a few thoughts on the subject.

Data Safety: QuickBooks and Beyond

QuickBooks Online updates two separate hard drives with any changes in your data throughout the workday. Then, every evening, your data is backed up on a third-party hard drive for extra protection. The data in QuickBooks Online includes all financial information and a “paper trail” of changes made. If you manage your inventory with QuickBooks Online, all of that information is protected, including “business intelligence” reports showing you the big picture with actionable insights as well as every necessary detail. Everything you need for doing your taxes will be stored in your QuickBooks Online and all of your product and important customer information as well. You may well have information important to HIPPA compliance in there as well.

What you will not have in your QuickBooks Online data are hard copies of contracts, licenses, and other important physical documents. These items need to be stored in a secure and fireproof location and images of them should be backed up and also stored in a separate secure location.

Many companies don’t stop with just doing their bookkeeping and accounting online. Many have Microsoft Office 365 as an integral part of their business. When you need backups of this software and data, or any other online or offline software tools that you use, you may wish to look into other methods of online backup with SkyKick, DropSuite, or Datto. Each of these cloud to cloud backup systems are efficient and also give you point in time capabilities so that you can go back and recreate data situations that existed in the past. Although QuickBooks Online has you covered for data backup, you may need more help. We partner with these three companies and can advise you as to the best tool for your online backup needs. Please feel free to contact us at Exigo Business Solutions in the Kansas City area for advice in this matter.

Converting from QuickBooks Desktop to QuickBooks Online

Data safety is only one of the good reasons for converting from QuickBooks Desktop to QuickBooks Online. You can work from anywhere with an internet connection when your bookkeeping is in the cloud. Employees can collaborate in real time from multiple locations. And, your backup worries are taken care of when your financial data is off of your computers and server and guarded by the three-layer-deep QuickBooks online backup system. In order to make the transfer, you will need to schedule it during a time when no one will be entering data into the system. An agent of QuickBooks will handle the operation when you allow them access. The end result will be that your data will be safe with QuickBooks Online and you will be relieved of the headache of managing routine “in house” backups. We always recommend that when you convert from desktop to online that you refresh your QuickBooks training for key personnel. Contact us to set this up.

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