BUS707: Cloud Accounting Impact on Australian Small Businesses

This report, prepared for the BUS707 Applied Business Research course, investigates the impact of cloud-based accounting on small businesses in Australia. The research explores the benefits, challenges, and limitations of cloud accounting, including its effects on efficiency, cost reduction, and decision-making processes. The study includes an introduction outlining the research background, objectives, and questions, followed by a literature review synthesizing existing research on cloud computing and its applications in small business contexts. The methodology section details a qualitative approach, data collection methods, and sampling techniques used to gather insights from small business managers. The report further includes an analysis of findings and recommendations for future research and practical implications for businesses considering cloud accounting adoption. The structure of the report includes an executive summary, table of contents, introduction, literature review, research methodology, and references, providing a comprehensive overview of the research process and findings. The research aims to assess the effectiveness and efficiency of cloud accounting, identify its limitations, and understand its overall impact on Australian small businesses.

Running Head: ABR
IMPACT OF CLOUD ACCOUNTING ON THE SMALL BUSINESS, AUSTRALIA

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Executive Summary
This study is emphasized on evaluating cloud accounting in the small business of Australia.
This study discusses the creation section which could be an essential part of the research
named introduction, literature review, and research methodology. The introduction section
could employ different factors named research background, aim and objectives research
question, and dissertation structure. The literature review section could support to
comprehend different challenges as well as a limitation that might be faced by the firm at the
time of implying the cloud accounting in the business process. It also depicted that cloud
computing could [positive impact on the business performance of small enterprises in
Australia by increasing the connectivity. In this study, the qualitative method will be
practiced that aids to get the theoretical data. This study will be conducted on the 5 managers
of small enterprises of Austral by entailing the non-[probability connivance sampling method.
In this, both primary and secondary data collection method has been practiced to get the
information towards the research issue.

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Table of Contents
Executive Summary...............................................................................................................................2
Introduction to the research...................................................................................................................4
Introduce the topic of the research.....................................................................................................4
Overview of client organization (if any)............................................................................................5
Researcher seeks to resolve...............................................................................................................5
Outline the structure of this proposal.................................................................................................5
Research problem and research objectives........................................................................................6
Literature review...................................................................................................................................8
Research methodology........................................................................................................................12
References...........................................................................................................................................17
Appendix.............................................................................................................................................21

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Introduction to the research
Title of this study: The title of this study is the impact of cloud base accounting on small
business in Australia”
Introduce the topic of the research
In the current era, it is vital for the organization to improve their understanding of the cloud
base accounting in small business in Australia. From the data, it is founded that business
gives the added value of 33% of the economic development. It demonstrates the significance
of the small business in Australia. The accounting structure has been regularly changed as it
fluctuated with time and affect the overall outcome of the study (Wu, 2016). In the recent
business era, integrated software has been required to meet their goal for the attainment of the
organizational task. The new method that is generally used by in the current era is cloud
accounting as it is safer as compared to other accounting. The cloud accounting is one of the
internet bases accounting structure that is effective for sharing the data that will be supportive
in the attainment of the organizational task (Whitney, 2014). It is also founded that cloud
computing is practiced with the purpose of dealing with the challenges of the Australian firm.
It is also useful for increasing the effectiveness and efficiency of the organization to obtain
higher profit to the business. It could also eliminate the probability of uncertainty in the
business. It could be effective in getting a favorable result. It is also stated that cloud
computing is based on shifting of innovation in the IT which could be essential for operating
the business function in a systematic way. It could also be imperative to make higher profits
in the working place. It is also stated that cloud computing software could provide the path by
which an organization could access their essential information by considering the internet. It
will also be effective to make a connection among small business of Australian market that
could positively impact on the overall outcome of the business. It could enable to the
workforces of the business to operate their business function anywhere (Senyo, et al., 2016).

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Overview of client organization (if any)
The IT (information technology) is simply working in the accounting sector with new cloud
in the recording of information which supports in the business transformation. For addressing
the same goal, the researcher has decided to consider the small Australian business. From the
data, it is evaluated that more than 14% of small business has been taken the benefits of cloud
accounting in their business.
Researcher seeks to resolve
This research is effective for gaining the understanding of the impact of cloud accounting on
the small business in Australia. It could also be vital for evaluating cloud computing. It also
supports to increase understanding about limitation as well as challenges of the cloud
accounting for making effective decision in favor of the research. This best understanding
about challenges could support to the investigator to make their career in the IT industry and
sustain their position in the marketplace.
Outline the structure of this proposal
The outline of this study structure has been discussed as below:
Introduction:
The introduction section is used to know about the essential factors that are known as the
research background, research aim and objectives, research questions, and research
significance. These factors could increase the basic understanding of research that will lead to
getting higher competitive benefits. It is founded that this section proved a path to the
researcher to know the study effectively (Hsu and Lin, 2016).
Literature review
The literature review is effective in comprehending the study issue. This section critically
evaluates the study issues. The data of the literature review is collected by considering
articles, books, journals, and articles. It is examined that the researcher will also facilitate to

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examine the data by entailing articles, books, journal articles, and online sources. It is
effective for the attainment of the research task.
Research methodology
This one is the third section of the study that will be practiced by the researcher to select
suitable information towards the research matter. There are different factors that might be
considered by the research scholar named research approaches, types of the study, data
collection, data analysis, data sources, sampling size and sampling method, and ethical
consideration. It is addressed that each factor plays an imperative role in obtaining the data in
favor of the research matter (Raut, et al., 2017).
Data Analysis and findings
In this section, the collected data will be evaluated by considering different sources as it
could be known as the statistical and non-statistical tool. The statistical tool considers the Ms-
Excel to evaluate the data while the non-statistical method will consider the literature review
the examined the data. The data will be presented by considering graphs, charts, and table and
the collected opinion of the participants will be supported by the literature review. Thus, it
founded that this tool could offer a way by which the investigator will research at the reliable
conclusion (Sallehudin, et al., 2015).
Conclusion and recommendation
This one is the last section of this study, this method will facilitate the investigator for
concluding the overall summary of the study. It will be effective in the attainment of the
research task. It is also evaluated that this section is more effective as compared to another
method. It will lead to comprehending the overall study in the least time (Sallehudin, et al.,
2015).
Research problem and research objectives

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Aim of the research is to study the impact made by cloud accounting on small businesses in
Australia. The following objectives will be accomplished by research to attain the aim of the
research study
 Measure the effectiveness and efficiency of cloud accounting in a small business in
Australia.
 To determine the limits of cloud accounting on small business in Australia.
 To understand the impact of cloud accounting on small business in Australia.
 To understand the challenges of cloud accounting in a small business in Australia.
Research questions
 Is Cloud base accounting user-friendly and fulfill the requirement of safety?
 How can cloud accounting help to grow regarding efficiency and effectiveness?
 Usage of cloud accounting and practices.
 What is the cost of cloud base accounting?

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Literature review
The literature review section is essential to critically evaluate the impact of cloud computing
on the small business of Australia. The data of this section has been collected by entailing
many sources, as it could be known as the articles, journal, books, magazines, online, and
offline sources. It could also be effective for getting a favorable result in favor of the research
matter. This section could critically evaluate the benefits as well as challenges of cloud
computing in the small business. It also evaluates how cloud computing is essential in the
small business of Australia.
Impact of cloud base accounting on small business in Australia
According to Whitney (2014), Cloud computing is on-demand availability of the computer
system resources majorly in the computing power and the storage of data without the direct
active management by the users. It is considered as the delivery of the computing services
that include storage, intelligence, analytics, software, networking, and many others. The
cloud base is used in the accounting system for the small business that is present in the
Australia market.
Considering the views of Anon (2016) the cloud accounting software offers the users a way
through which they can access the data from anywhere with an internet connection to the
small business present in the Australian market. This allows the employees of the small
business to work from wherever they want to do. Contracting this Wu (2016) stated that
cloud base accounting is beneficial for the small business not because of the easy
accessibility but because of the speedy processing of the information as well relatively easy
access to information. This has been found that most of the decision makers generally depend
on the data that is formed on a timely basis that is possible with the cloud base accounting as
it offers the proper data to the manager.

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As per the view of Anon (2014) cloud base accounting leads to the reduction in the overhead
cost because it works as a service function that adds the cost of overhead for running a
business and the main cost that is linked with the cost of hiring personnel with the excellent
skills sets. In addition, the research shows that it leads to improvement in the overall
efficiency of the organization, as it is possible due to the fast decision making which is
possible with the help of the cloud base accounting. In addition, Wu (2016) presented the
views, in which it was found that the use of cloud base accounting offers the advanced
features advantages to the small business, as they do not have to struggle a lot to get the new
and systematic features through which they can easily manage their data. In addition, cloud
accounting reduces the burden of the small business for keeping their accounting software
updated on a regular basis for personal use.
Considering the view of Kotey and Sorensen, (2014) it has been found that most of the
potential drawbacks of the cloud computing occur from the fact that the small business might
not be ready in order to handle the consequences of over-reliance related to the business
technology. The major limitation of the cloud base accounting is the potential loss of the data
is sensitive. The damage of the cloud base accounting is the fact that control due to the
technically lost. The lost in the control of the company for the data will lead to the loss of
essential information.
Contrasting this Attaran and Woods, (2018) depicts that most of the accounting vendors
operate their business in the cloud from the jurisdiction in which the laws are meaningfully
different from the one that operates the business in the home country of the client company.
In addition to this, another issue that is related to cloud base accounting is a poor internet
connection. The smooth operation of the small business is entirely dependent on the internet.
Thus, every company needs to ensure that they have an internet connection with the back up
so that they can keep going with these operations.

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According to the Attaran and Woods, (2018) most of the cloud computing services the small
business can scale their resources comfortably due to which they do not have to invest the
much amount in the infrastructure and services and thus the small business can easily earn the
profit in the market. In the market, the company invests the amount when the product and
services are demanded by the customers. The cloud accounting helps the business to make
the investment and cost-efficient for the small business that makes them try the new business
strategies. It has been found in the research that in the competitive marketing not only cloud
accounting helps in reducing the cost of maintenance but it also effectively utilized to bring
the unique customer schemes that might be beneficial for the small business.
In the opinion of the Mohammed and Burhanuddin, (2018) cloud base accounting offers the
advantage to the companies through which they can analyze the results on the real-time basis
that is essential for the business as this can help them in reducing the additional cost to the
business. On the other side, Dordevic, Radovic and Bonic, (2018) stated that financial data
has been done on a real-time basis that improves the operations as well as the performance of
the small business. This improvement in the performance is essential for future success and
opportunities for expanding the business operations in the market. Thus, this shows the
positive effect of the cloud base accounting on the business.
Contrasting this Islam, Manivannan, and Zeadally, (2016) illustrated that, it has been found
that when cloud accounting offers numerous services it also has the negative side of it which
include the issues related to the clutter as well as the security issues. Thus, this means that
cloud accounting not only have a positive effect but it also has a negative effect on the small
business in the Australian market. In addition to this, agreeing to fact Rittinghouse and
Ransome, 2016, said that cloud accounting leads to different issues it has been found that the
professional in accounting need to be aware of the cloud base accounting as this will help
them to be appointed in the small businesses in Australia. Similarly, the small businesses

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need to hire the employee who knows about the cloud base accounting. For this, they need to
pay the additional amount to the labors that will lead to an increase in the cost of the small
business.
Agreeing to this Dimitriu and Matei, 2015, stated that the cost of the small business increase
because they need to offer the training to their existing employees about cloud computing in
accounting. Thus, this training will increase the cost of a small business. However, later on,
they will get a high benefit in the near future due to which this is considered as the
investment for the small business.
In the present environment, Aman and Mohamed, 2018, illustrated that one of the challenges
related to the companies as well as the enterprises are facing today due to the lack of
expertise as well as the resources. Presently, the organizations are increasing with the more
workloads majorly on the cloud technologies in the small business. This increasing workload
leads to the issues of cloud accounting in the Australian market. In the research, it has been
found that the increasing workload among the small business makes them find the cloud
specialist in their IT teams so that they can manage and keep the technology updated.
Agreeing to the fact, the George and Nazeh, 2019 presented the views related to the
challenges that the business move to the cloud as it becomes dependent for their services. The
decision of the business is depended on the cloud base accounting due to which the small
business needs to wait and this lead to a delay in the decision which is required to be taken by
the company. This delay will lead to an impact on the position of the business due to which
this is considered as one of the major challenges.

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Research methodology
In the research methodology, many sections will be entailed by the investigator as it leads to
meet the aim of the study. These methods could be associated with certain elements like types
of research, research approaches, types of data, sources of data, and sampling method. These
are discussed below:
Types of research (exploratory, descriptive or causal)
In the research methodology section, it is stated that different types of methods are
considered in research approaches named exploratory, causal, and descriptive method. In this,
the researcher has entailed the descriptive method as compared to the exploratory and causal
method. This method is effective in evaluating the relationship between variables
(Priyadarshinee, et al., 2017). It will enable to the scholar for making a reliable decision in
the context of the organizational issue. Apart from this, it is founded that causal method could
be practiced to examine the cause of an effective relationship. It is examined that the
exploratory method is imperative to get fresh information. In this, research needed to
discover the depth information towards the research matter in which the descriptive method
has been more effective as compared to another method (Kumar, et al., 2015).
research approach (quantitative, qualitative or mixed approach)
In the methodology section, three kinds of approaches could be employed as it is known as
the qualitative, quantitative, and mixed approach. This study is subjective in nature hence the
qualitative research design method will be practiced as it could enable to obtain the non-
numerical data by existing sources and provide a path to the investigator to meet the aim of
the study (Dimitriu and Matei, 2015).
It will also assist to complete the task in available resources as well as available time. Thus,
it is founded that this method will be more appropriate as compared to another method.