Skip to main content

Back to the Learning Center

By: Angela Cook on December 13, 2021

What Is SaaS? 5 Facts That Every Business Should Know

Cloud Services | Managed IT | SaaS

More and more companies are using software as a service (SaaS) to conduct daily business operations. Why?

SaaS offers an exciting alternative to the standard software installation in a traditional business model. Instead of building a server, manually installing every application, and configuring them, SaaS resides on a remote cloud network only to be accessed through the internet.

With that said, it can be tricky to understand all you can about SaaS when you have yet to dive into the world of cloud computing.

At LDI, our cloud services team has worked with a range of clients who have yet to use cloud-based services and applications.

LDI offers SaaS applications such as Microsoft 365 to help optimize one’s business operations. We can see a notable difference in the workflow of those who have adopted cloud-based applications and those that haven’t.

This article will define what software as a service (SaaS) is and five key facts. After reading this article, you will better understand whether SaaS is right for your business.

What Is SaaS (Software as a Service)?

Regardless of whether you’re unfamiliar with the term “SaaS,” you have probably used a service before that uses this model without knowing it.


Software as a Service or SaaS is a streamlined way of delivering applications over the internet as a service. SaaS enables users to access and use cloud-based applications over the internet.

Think of it this way, rather than installing or maintaining the software yourself. Your company will access it via the web, eliminating the need to manage complex software and hardware yourself.

Make sense so far? Let’s dive a bit deeper.

SaaS applications are based in the cloud and can be accessed via a web interface and desktop and mobile applications.

SaaS applications can often be called on-demand software, web-based software, or even hosted software. Regardless of the name, a SaaS application typically runs on a SaaS provider’s or cloud services provider’s servers.

The provider then monitors and manages the security, availability, and performance of the SassS application.

Businesses can have a helpful online tool at their disposal for a recurring monthly fee.


What Are 5 Facts To Know About SaaS?

If your company is interested in using SaaS, it’s only fitting to learn the facts before implementing it.

Let’s jump into learning more about what SaaS has to offer your business.

Here are the following are five facts about using SaaS:

1. It Provides Seamless Accessibility 

Using a SaaS tool, your business will have access to your data through an internet browser. No matter which operating system your company uses, all that’s required is a stable internet connection to access its SaaS tool.

For example, suppose your business typically runs the application on a Windows or MAC PC. In that case, the SaaS application will remain accessible. 

Why is this a good thing?

Well, not needing to worry whether the operating system you’re using is compatible with the SaaS applications you have makes for a more streamlined process. 

Additionally, SaaS apps are mobile-friendly and designed to be used from anywhere, anytime, including on the go. 

Suppose your company is still abiding by a hybrid or remote business model. In that case, SaaS applications are a great choice to provide versatility and ease of use.

2. No Hardware Required 

While for on-premises software, there are certain business PCs or other desktops with compatible software and hardware configurations required.

However, for SaaS, there is no hardware required. 

SaaS tools sweep away the need to rely upon on-premises servers and network switches to support the software across the business.

Even the smallest businesses can now access software tools through SaaS-based cloud applications initially only for enterprises to afford.

3. Includes Data Analytics 

You can never have enough data.

With SaaS, everything is run through a centralized platform. Therefore, it’s easy to collect data and use it for analytical purposes. 

SaaS tools allow users to access reporting and intelligence tools, along with visualizations that generate valuable insights into business operations. 

What does this mean?

Take Microsoft 365 as an example. Within Microsoft 365, your business can visualize and analyze usage data, create custom reports, and even gain specific insights related to particular departments within your organization in real-time. 

These SaaS metrics can then be used to analyze user engagement across all touch-points to make real-time decisions about workflow moving forward.

4. SaaS Is Scalable

Authorized users can add more users to the SaaS business model or reduce them when necessary.

By simply adjusting your billing plan, your business can scale your plan to match the needs of your business.

Stop wasting money and resources on excess hardware and only budget for your current needs. Your billing plan can reflect the current number of users you require to use the SaaS tool.

SaaS tools are based on a usage metric and require that customers only pay for the cloud-based features they need. 

5. Offers Unlimited & Secure Storage 

With SaaS, data is routinely saved in the cloud.

This differs from on-premise storage of data. Your company would need to invest in reliable backups should a serious hardware crash occur that would result in a significant loss of data.

Not only is the redundancy aspect of SaaS advantageous for companies, but an employee can easily switch devices without losing work or vital information.

By simply logging into their account, regardless of the device being used, their data will appear on whichever device they load the SaaS application.

For example, let’s say an employee at your company joins a meeting on their work laptop at home. 

However, they get an emergency call that requires them to drive to the hospital. If they’re needed to stay on the call within their SaaS application, they can switch to their mobile phone to take their meeting from the car. 

All of the data shared during the meeting will appear on their other device, and the other team members on the call will not notice a difference.

Ready To Implement A SaaS Product For Business Operations?

As outlined above, SaaS can offer a lot of benefits. However, deciding whether to use SaaS for your business can be challenging if you’ve never done it before. 

Suppose your business is looking to rely on a cloud-based solution that streamlines many business operations from email correspondence, collaboration, communication, and file sharing. In that case, adopting a SaaS tool for your business may be the right next step.

However, suppose your business isn’t comfortable working with a cloud services provider at the moment or an outside vendor to implement SaaS for your business. 

In that case, now may not be the right time to implement SaaS for your business.

At LDI, we help clients adopt Microsoft Azure as a SaaS data storage option and Microsoft 356 and LDI Elevate for a SaaS tool to help facilitate efficient workflows and streamlined collaboration and communication.

To learn more about SaaS, read our article on the three ways your business can enforce SaaS data protection.

Recent Articles