Abstract

The research dealt with the theoretical framework of cloud accounting in terms of its definition, advantages and disadvantages, and the applied part dealt with the analysis of 124 electronic questionnaire distributed to a sample of Saudi companies in various sectors using the SPSS statistical analysis method. The research achieved the following results: Saudi companies apply cloud accounting in general. There are a lot of advantages of applying cloud accounting in Saudi companies such as: the speed and issuance of purchase orders and invoices at any time, and the access to updated financial statements at any time. While the disadvantages of cloud accounting are that: it is affected by the speed of the internet and pressure on the network, there are also gaps in the cyber security system of cloud accounting service providers and the high cost of cloud accounting over the expected benefits from it. The research resulted in a set of recommendations including: the need for auditing firms and service providers to conduct training courses and workshops that show the advantages and benefits of applying cloud accounting for business organizations, the creation of an accounting standard that shows what cloud accounting is, its mechanism of action, the conditions required for its application in business organizations and service providers, and the recommendation for companies that want to apply cloud accounting to solve technical problems such as: internet speed, cyber security and encryption of databases, in order to benefit from the advantages of digital transformation of cloud accounting.