High storage costs: Traditional accounting software requires data to be stored on local drives or physical copies. This can be expensive, especially for businesses with large amounts of data. Additionally, if data is lost or corrupted, it can be costly to recover. Limited access: Traditional accounting software is typically installed on a single computer or server. This means that only a limited number of people can access the software at the same time. This can make it difficult for teams to collaborate on accounting tasks and can lead to inefficiencies. Lack of flexibility: Traditional accounting software is not designed to be scalable. As a business grows, it may need to upgrade its accounting software to accommodate the increased volume of data. This can be a costly and time-consuming process.