SaaS gives SMBs cheaper option, expert says

Written by James Gardiner

Software-as-as-service (SaaS) is providing small and medium-sized businesses (SMBs) the opportunity to invest in the latest technologies at a reasonable cost, according to an expert.

Jeffrey Kaplan, managing director of THINKstrategies, writing for Datamation, says smaller firms are able to overcome the previous disadvantages imposed by the expense of new products by using hosted applications, for which they may require London IT support.

"What makes SaaS especially appealing to SMBs is that it enables them to save money in multiple ways," he claims.

Mr Kaplan asserts that it cuts costs associated with utility bills, as servers needed to support applications are not needed.

Futhermore, there are no upfront license fees, which cause problems for finance departments, and the pay-as-you-go subscription means companies pay for what they actually use, he states.

Last week, Cisco advised SMBs to capitalise on available technologies to help them through the recession, claiming that a survey has shown too few businesses embrace IT products with confidence.