6 Ways Why Cloud Based Solutions Benefit Small and Medium Sized Enterprises (SMEs)

By Veritis

6 Ways Why Cloud Based Solutions Benefit Small and Medium Sized Enterprises (SMEs)

Small and medium-sized firms now have the chance to get to the top thanks to the revolution and innovation in cloud technology. As a result, small and medium-sized enterprises (SMEs) are given opportunities to expand the scope of their operations. Small businesses now have access to markets that larger firms previously dominated because of cloud adoption. It gave SMEs significant competitive advantages and enabled them to compete in a much bigger business environment as everything became on-demand and need-based.

The cloud offers SMEs a more intelligent and efficient IT alternative that reduces costs and increases production. In addition, cloud based solutions provide SMEs with a wide range of clear advantages, such as enhanced data security, decreased downtime, and flexible storage. CRM administration, resource optimization, and remote computing are a few examples.

As a business owner, you constantly look for ways to boost sales while maintaining high effectiveness, cost, and quality standards. The cloud can help you achieve all these goals!

Although it has been around for two decades, cloud migration strategy has become increasingly popular over the past five years because of our growing reliance on and usage of data. First, however, many people must know they use cloud computing benefits for business. Netflix streaming involves the use of cloud computing benefits for business. Likewise, using the bank’s mobile app to check your account balance is a cloud-based solution. Applications that rely on cloud computing include Facebook and Instagram. Chances are you depend on cloud computing infrastructure to address numerous business difficulties if you run a small firm, whether using apps to manage your tasks while moving or sending emails.

Global end-user spending on public cloud is anticipated to reach USD 679 billion in 2024, up from USD 563 billion in 2023, according to Gartner, Inc. This indicates a sustained surge in cloud adoption across diverse industries.

60% of corporate data worldwide is now stored in the cloud infrastructure services, highlighting a notable shift from traditional on-premise storage solutions. This trend is expected to continue as businesses recognize the benefits of cloud-based data management. (Source: Thales)

44% of traditional small businesses currently utilize cloud based infrastructure or host cloud application services, challenging the common perception that cloud technology is primarily for large corporations. This showcases a growing recognition of the cost-effectiveness and scalability benefits of the cloud, even among smaller entities. (Source: TechRepublic)

In 2024, 71% of organizations plan to increase their cloud spending, indicating growing confidence in the value proposition of cloud business solutions and a commitment to leveraging cloud technologies for operational enhancement. (Source: Flexera)

Cloud infrastructure services provide computing services over the internet. Access to web-based applications, data processing, storage, and other cloud application services is in demand for small businesses. The infrastructure as a service (IaaS) model, software as a service (SaaS) model and platform as a service (PaaS) model are some of the services offered by cloud computing platforms. Accessible data, automated syncing, ease of remote work, and simple backups of cloud computing benefits for business.

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What is Cloud Computing?

What is Cloud Computing

Cloud computing is the on-demand provision of computer services over the internet, such as software, data processing, and data storage. Cloud computing benefits for business services are often paid for pay-as-you-go. So, you only pay for the cloud infrastructure services and applications you utilize. This strategy enables flexible growth and lowers your company’s operating costs.

In today’s rapidly evolving business environment, small business owners must have access to data and apps from their PCs, tablets, or mobile phones. Whether at work, on the road, or in the field. This access from anywhere is possible via cloud network technology insights and an internet connection.

Instead of storing files on an exclusive hard disc or local storage device, they can be saved to a remote database thanks to cloud based solutions storage. Furthermore, a device with internet access can access the data and software programs required to run them.

Types of Cloud Services

No matter the service type, cloud computing for small businesses has several benefits, such as:

  • On-demand software delivery
  • Data retrieval, backup, and storage
  • Developing and testing apps
  • Email
  • Streaming audio and video
  • Analyzing Data

Even though it is a relatively new technology, cloud-native applications are being used by multiple industries, including large corporations, small businesses, charitable organizations, governmental agencies, and even individual consumers.

Useful link: What is Cloud Computing?

Types of Cloud Computing

Types of Cloud Computing

Cloud computing is not a standalone technology like a chip or phone. Instead, it is a system made up mainly of three services: Platform-as-a-Service (PaaS), Infrastructure-as-a-Service (IaaS), and Software-as-a-Service (SaaS).

1) Platform as a Service (PaaS)

PaaS is regarded as the most complicated of the three cloud computing layers. While SaaS and PaaS are comparable in some respects, the main distinction is that PaaS delivers software offline rather than online. It is a platform for software development that is made available online. Platforms like Salesforce.com and Heroku are part of this strategy.

2) Infrastructure as a Service (IaaS)

IaaS refers to a technique for providing anything as part of an on-demand service over IP-based connectivity, including operating systems, servers, and storage. So, instead of buying servers or software, clients can use an on-demand, outsourced service to obtain these resources. Microsoft Azure and IBM Cloud are two common instances of the IaaS system.

3) Software as a Service (SaaS)

SaaS refers to licensing software applications to users. A pay-as-you-go or on-demand mechanism is generally used to provide licenses. For instance, this kind of mechanism is available in Microsoft Office 365.

Useful link: What are the Different Types of Cloud Computing Services?

Cloud Solutions Best Practices for SMEs

Cloud Solutions Best Practices for SMEs

1) Scalability and Flexibility

Discuss the importance of enterprise cloud solutions that can rapidly scale up or down as per the needs of SMEs. Highlight the benefits of paying for only the resources used and how this flexibility can accommodate fluctuations in demand.

2) Cost-efficiency and Predictability

Explore strategies for SMEs to optimize costs through enterprise cloud solutions, such as pay-as-you-go models, reserved instances, or cost management tools. Emphasize the need for precise budgeting and cost prediction to avoid unexpected expenses.

3) Security and Compliance

Address the critical considerations for ensuring data security and compliance with regulations in cloud-based environments. Highlight the importance of selecting providers with robust security measures, implementing encryption, and regularly updating security protocols.

4) Accessibility and Collaboration

Discuss the advantages of enterprise cloud solutions in enhancing accessibility and facilitating collaboration among distributed teams. Explore features like real-time document sharing, remote application access, and integration with collaboration tools to improve productivity and communication.

5) Disaster Recovery and Business Continuity

Outline strategies for SMEs to leverage cloud business solutions for disaster recovery and ensure cloud computing in business continuity. Discuss the benefits of automatic backups, redundant cloud based infrastructure, and disaster recovery plans tailored to the cloud environment to minimize downtime and data loss.

Benefits of Cloud Business Solutions

Benefits of Cloud Based Solutions

Enterprises from all sectors can benefit from using cloud-based software, which can be accessed by the browser or native apps on any device. In addition, users may seamlessly transfer their files and settings from one device to another. There are a few benefits of cloud computing for small businesses. Let’s have a look!

1) Cost Optimization

The main advantage of cloud computing platforms is operational cost optimization. If you switch to a cloud ERP system, you must install less IT equipment and pay less for upkeep. In addition, although I wouldn’t advise SMEs to do away with their IT teams completely, moving most of their activities to cloud network technology adoption will significantly reduce the burden on those teams. Finally, cloud resources offer a practical means of accommodating spikes in corporate activity or transaction volume that could bring down conventional systems.

For starters, you no longer need to make substantial capital investments in acquiring, upgrading, and maintaining prohibitively expensive servers, PCs, and their associated software or hardware. Cloud based IT solutions offer great operational cost certainty in the long run because the service providers oversee the system’s security, upkeep, and upgrades.

2) Secured Data Backup

Data loss can be disastrous for a small firm. It’s not just because the files were lost; it’s also because restoring them takes time and money. According to CloudRadar, the cost of a network outage is above USD 10,000 per hour.

Most small firms don’t invest in dependable data recovery; it’s more of an ideal. Many SMBs are now turning to cloud computing platforms to counter this trend for small businesses. Cloud application services can quickly recover data from all types of data disasters due to their size and competence, including remotely deleting data from a lost laptop.

3) Improved Collaboration and Better Work

According to Gartner, 74 percent of CFOs want to transfer 5 percent of their employees to remote jobs permanently. Thus, even if the pandemic may have expedited the remote working trend, most firms, particularly SMEs, are now aware of its potential benefits for operational effectiveness. Because of this, cloud computing models for remote workers have significantly increased globally.

Remote employees can connect and communicate with other teams with the help of cloud-based monitoring. SMEs and established enterprises observe a paradigm shift in operational efficiencies because of mobile information access. The cloud ERP system serves as a platform that ensures fast and secure access to information and has enabled everyone to operate remotely. You can immediately produce the necessary data before the IT department.

4) Greater Reliability

Services delivered over the cloud based infrastructure are frequently more dependable than services provided on premises. Especially if servers or other hardware are outdated since cloud solution providers have a dedicated, experienced IT staff, they can handle issues more quickly than small businesses with limited IT resources.

5) Drive Firm Innovations

What if your company had a secret weapon to save expenses, please customers, boost productivity, open new revenue streams, and expand into new markets? According to a recent IBM Institute for Business Value study, cloud-based monitoring generates revenue for SMEs and organizations in many sectors. According to this survey, cloud-based workflow gives SMEs the ability to;

  • Obtain simple access to a new market or sector
  • Increase service or product features while maintaining usability
  • Acquire new clients
  • Introduce innovative client journeys crafted for distinct client experiences
  • Develop, create, and launch services and products quickly

Most businesses began utilizing cloud resources for small businesses about half a decade ago to reduce operational costs and streamline their IT infrastructure. However, you don’t use the power of cloud-based software to drive enterprise innovation today. Then, your company runs the danger of being outflanked by competitors.

6) Scalability

Scalability is the ability to adjust IT resources to accommodate shifting business needs in cloud services for cloud computing in business. It is the most defining characteristic of cloud computing models and why SMEs embrace it exponentially.

The existing cloud based infrastructure allows for the scalability of data storage capacity, networking, and processing power. In addition, unusually, little to no downtime or interruption is required to complete it swiftly.

Useful link: Cloud Computing: Trends, Challenges and Benefits


Cloud based IT solutions have a wide range of benefits for small and medium business owners. They enable you to focus on your mission and core competencies while leaving the rest to the cloud platform. In addition, cloud-based IT solutions’ scalability and flexibility allow you to advance quickly and gain competitive advantages.

The significant potential is lost if your SME doesn’t have cloud based IT solutions. This is an opportunity to develop, take the lead, and be inspirational. The industry is quite competitive; therefore, using technologies that can streamline your business operations and reduce time will be beneficial.

Veritis, the Stevie Awards and Globee Business Award winner, offers many global SMEs IaaS, PaaS, and SaaS solutions. The benefit of our cloud and IT solutions is that they significantly improve their overall business process. If you believe it’s the right time to experience the ride of the cloud, contact Veritis to learn more about our customized cloud application services.

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