A SaaS website or service provider offers cloud services and hosts its user’s data via the internet. The provider is responsible for maintaining and updating the servers as well as for any necessary software developments.
SaaS applications are most often multi-tenant solutions meaning that, within the cloud, two or more companies or clients may share the same server and (depending on their fees) the same database resources. This is incredibly convenient for small businesses and startups as they can pick a pricing structure to suit their budget and reduce maintenance costs that often arise using traditional software.
Indeed, with such ease of scalability, SaaS resources allow companies to increase the size of processors and online storage to meet changing customer needs or to improve the user experience.