Entrepreneurship Industry News

5 Reasons SaaS Is the Best Solution for Tech Startups

When it comes to developing and growing a successful business, startups have many difficulties. However, technology today has enabled startup businesses to grow faster and easier, as constant innovations help businesses improve efficiency and productivity.

SaaS or Software as a Service is a model for software distribution where software is hosted online and it’s made available to customers over the Internet. SaaS is one of the three aspects of cloud computing alongside Infrastructure as a Service (IaaS) and Platform as a Service (PaaS) that makes the lives and growth of startups much easier. Here are a few reasons why SaaS is the best solutions for startup businesses.

Easier software delivery

SaaS eliminates the need for individual distribution and physical installation of software on each computer. Instead, SaaS is hosted online and software licensing and delivery is based on annual or monthly subscription. Customers can access the SaaS using a web browser and install a single version of software or its application on multiple devices.

Software or an application has one configuration for an operating system, network and hardware that is used for all customers. Compared to the traditional method of acquiring and installing multiple copies of the same software on multiple devices, SaaS offers a far better and simpler solution, since it’s centrally hosted online and made available on all devices at all times.

Flexible and cheaper solution

Traditionally, a startup business would have to procure all the software they need and purchase it initially. Not to mention purchasing individual copies for multiple computers. Regular price would be very expensive, especially for startups under development or startups that have a limited budget. By opting for SaaS, startups can subscribe to using software instead of purchasing it, while greatly reducing the initial costs.

Furthermore, instead of spending most of the budget at once, startups need to primarily invest developing their products or building their marketing campaigns, while subscribing to using software for a few months or years. Moreover, SaaS provides flexibility in terms of business growth and budget planning by offering businesses the ability to know the cost of subscription and upgrades at all times. That way, startups will know exactly what the costs will be, allowing them to prepare their budget in advance.

Improved security and updates

SaaS model is hosted in the cloud and a software dealer takes care of upgrading and maintaining the software. Furthermore, they make sure that everything is up to date and that software is performing accordingly. Also, they ensure that application data is protected and that backups are in place in case of a disaster.
Subscription arrangement obligates software vendor to provide services that include performance, privacy, loss of data recovery etc. If you are uncertain about the services a vendor should provide, you can get a SaaS agreement template with the software vendor in order to ensure that all the services you require are included. SaaS model enables startups to use software without having to worry about any issues because the service provider resolves those issues for them.

Better accessibility

As mentioned before, SaaS software is centrally hosted online, in the cloud, and it’s available to users over the Internet, anywhere, anytime. This method ensures more flexibility and accessibility, as it offers access to software from remote locations or by using mobile devices. That way, users do not have to be present in the office in order to perform their tasks. Furthermore, data collection is completed in real-time and users can analyze data to produce real-time responses that are quick and effective.
This is especially beneficial to the marketers as they can monitor and manage marketing campaigns in real-time, optimizing it for the best impact on the audience. Startup businesses that wish to maximize their marketing efforts can use SaaS tools, such as customer relationship management tools, social media post schedulers, etc., as well as real-time data collection to produce the most effective marketing campaigns.

A wide variety of tools

SaaS model offers tools that can help startups step up their game, all in the form of software that doesn’t need to be installed physically. Tools such as pre-scheduling social media posts, email marketing campaign builder, analytics, document sharing, communication tools and many more, which can be used from any device, will greatly assist startup business in developing their strategies and achieving success.

SaaS enables more flexibility, effectiveness and efficiency for startups, as well as reducing the initial costs of software procurement. It also helps startups to fully use the potential of real-time data analysis and real-time data management. That’s why SaaS is the best solution for startups.

Read More: IBM