This is by far the most secure form of accounting software as it does not rely on external internet based servers or remote software.
The problem with many cloud based accounting software is that due to the limitations of the internet, the software tends to be crippled versions of conventional software.
As the technology develops the weaknesses of cloud based accounting will diminish, but a word of advice is that cloud based accounting systems are being sold as simple solutions but are only really suitable for a limited number of smaller businesses at present.
The other issue is you need more knowledge to operate these cloud based accounting systems than the vendors would have you believe.
In both server and cloud based accounting systems you need technical accounts knowledge to operate either systems correctly. You will not save money on accountancy fees by simply using a piece of software, especially if it used incorrectly.
At IAIS we will take you through all aspects of software selection that suits your needs and that of your business.