Amidst of low budget and scarce tech support, startups can make great use of cloud computing to produce a competing product. Here are some of the benefits of cloud computing for startups;
- Usually startups cannot afford to have large initial investments in acquiring servers and operating datacenters. This one off investment is also known as capital expenditure. With cloud computing, this expenditure is shifted to operational expenditure and a regular amount is to be paid to cloud providers. Many cloud experts including Paul Graham have concluded that this has reduced entry barriers for the novice.
- With cloud computing you have to pay only for the resources you use; if your application is getting many hits you will pay for resources used according to usage and vice versa.
- Cloud computing makes scalability too convenient. Guessing the scale is too hard in startups and if your scale is not according to the load, your startup may get failed. For example, if you planned resources for around ten thousand users and arranged two servers, but instead of ten thousand you got a million of users, it will result in crashes. This will deteriorate your image. With cloud applications, your scale is appropriate and adjustable according to the load.
- In a usual startup, the company doesn’t have a large budget so it moves its man power to IT support and very little people are left in product development department. This reduces productivity and hinders development. If, on the other hand, IT support work is handed over to cloud contributors you will have enough man power to work on product development.
- It lets you have a small set up. Companies which don’t have large arrangements can work at their best. Employing more people and adding resources usually slow down the startup and create more hassle and confusion. With IT support work outsourced you can have a lean company for a longer period.
- Cloud computing makes you responsive and alert. You are able to move to latest and innovative technology immediately. With lowered costs in servers and desktop programs, you are able to shift to new software and hardware more easily.
Cloud computing is the real solution for the problems of new businesses, as if it was made solely for them. Startup owners should consider cloud computing as one of the vital tools.