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What is a Cloud-Based Solution?

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Last editedJune 20232 min read

The popularity of cloud-based solutions has been increasing at a dramatic rate in recent years as they enable businesses to grow through increased operational efficiency and cost effectiveness.

This growth is made possible by the cloud providing accessible infrastructure, software and services that otherwise may not be possible due to financial restraints, limited staff numbers or a lack of physical space. It allows businesses to scale their infrastructure as and when they need to, as well as gain access to a multitude of other advantages.

Of course, benefitting from the advantages of cloud-based solutions requires some knowledge as to what they are and how they work, so in this guide we will explain everything you need to know about cloud-based business solutions.

Cloud-based solutions explained

Cloud-based solutions for business enable companies to access storage and applications, as well as multiple business tools and services such as cloud-based payments and through the internet. This saves the company from having to buy and manage all of the devices, software and functions in-house.

A cloud-based solution can refer to on-demand services and computer networks that are also accessed through the internet by connecting with a cloud solution provider’s shared computing framework. It all works much like a house accessing water without the occupants needing to build a reservoir in the backyard. There is a centralised provider who provides the services you need, and you use whichever services and solutions you need at any given time.

These on-demand cloud-based solutions come in three forms, namely:

  • Software as a Service (SaaS)

  • Infrastructure as a Service (IaaS)

  • Platform as a Service (PaaS)

Software as a Service (SaaS)

SaaS solutions include computer programs accessed through the internet that provide digital tools for use by a business. It could be a single application for cloud-based accounting solutions or a suite of related applications. SaaS can be used to store documents and records, as well as digital assets and other data on either remote servers or computers in data centres.

Infrastructure as a Service (IaaS)

IaaS includes providing access to network infrastructure such as remote computers and servers, data lines and cybersecurity resources. Typical usage includes storage, computing and networking. It works on a pay-as-you-go basis determined by each company’s business needs, and can be scaled up or down accordingly.

Platform as a Service (PaaS)

PaaS provides access to a hosting complex that operates as the foundation to run various software applications. It can be used as a hub for development and deployment when building, testing or updating software, and generally includes the likes of programming languages and libraries.

Advantages of cloud-based solutions

All of the Individual apps and software available via SaaS, IaaS and PaaS have numerous technical benefits of their own, though these advantages of cloud-based business solutions can all be generally summed up as follows:

Cost efficient

Without cloud-based ecommerce solutions, installing, supporting and upgrading your business infrastructure requires a significant financial investment. Alternatively, you can take advantage of cloud-based solutions to simply pay a monthly fee to access whatever software or service you need.


With your infrastructure accessible through the internet, your team can access the cloud-based company resources from any location with an internet connection. This can massively boost productivity by enabling employees in different locations to collaborate in real time.


The capacity of an in-house solution is determined at the point of purchase, which means you’ll have to pay more for extra capacity so you have room to grow. Then you outgrow your current max capacity and must invest once again to not only meet your new capacity needs, but provide enough to continue growing. Alternatively, cloud-based solutions let you scale up and down as and when required.


The flexibility of cloud-based business solutions should not be underestimated either, as a cloud-based business model can be customised by adding or removing features for different users.

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