Security is of paramount concern in the field of cloud accounting, Given the confidentiality of the data associated with cloud accounting applications (such as banking and financial data). Cloud accounting software offers many security advantages when compared to traditional desktop accounting software, which can be at risk if your company's computer is stolen, lost, or damaged. Each cloud accounting solution requires a security policy that outlines how to protect sensitive data. Most solutions use state-of-the-art methods such as multi-factor authentication and encryption to keep sensitive data secure.