If you’re running a business today, chances are you’re already relying on some kind of hosted service, even if you don’t call it that. Whether it’s accessing files remotely, logging into your accounting software from home, or sharing documents with your team, hosted services are doing the heavy lifting in the background.
But what exactly are they? And why are more businesses swapping traditional setups for managed, cloud-based alternatives? This guide covers everything you need to know.
Key Takeaways
- Hosted services deliver essential tools like desktops, applications, and storage – all managed externally by a trusted cloud service provider.
- They offer lower costs, better scalability, and enhanced data security compared to traditional in-house setups.
- Hosted services support industries from accountancy to healthcare with flexible, compliant IT infrastructure.
- Accountants in particular benefit from secure, remote access to platforms like Sage and IRIS without the hassle of managing servers.
- Whether you need disaster recovery, cloud backups or fully managed desktops, hosted services help businesses stay agile and future-ready.
What Are Hosted Services?
Hosted services are applications or IT services delivered over the internet, but managed and maintained by an external provider. Like email, file storage, data backups, virtual desktops, accounting software – all the essential digital tools your business needs, but without the need to host or manage them yourself.
Rather than running software or infrastructure on in-house servers, you “host” them externally. This can be in a data centre, via a cloud provider, or using a private hosting setup. These services can be fully managed (where everything is taken care of) or unmanaged (where you retain more control). Many businesses also turn to third party providers who specialise in maintaining this kind of infrastructure with dedicated support and expertise.
What’s included in hosted services?
It depends on your provider and what you need. Some common types of hosted services include:
- Hosted Desktops – Your full work desktop, accessible from anywhere
- Hosted Applications – Tools like Sage, QuickBooks, or Microsoft Office
- Hosted Infrastructure – Virtual machines, backup storage, firewalls
- Hosted Email & Communication – Business email, Teams, VoIP
These can include everything from web hosting services for your site, to cloud storage, disaster recovery, or complete virtual office environments. Essentially, anything that previously ran on a server in your office can now be delivered remotely, securely, and with ongoing maintenance taken off your plate.
The benefits of hosted services
Whether you’re a small business or scaling fast, hosted services offer a serious upgrade from traditional setups:
- Reduced Costs – No more expensive server hardware, licensing or in-house IT teams
- Scalability – Add or remove users or services without any disruption
- Accessibility – Work from anywhere with a stable internet connection
- Security – Hosted services come with built-in compliance, backups and security features
- Expert Support – Managed providers handle updates, performance, and security
And because you’re not tied to a specific location or server, hosted services offer more resilience in the face of disasters or outages. Providers often include off site backup options and business continuity tools as standard.
Who uses hosted services?
Hosted services are used across nearly every industry – because no one wants the hassle of managing servers anymore. Here’s how different sectors are using them:
- Accountancy – Hosted desktops and applications like IRIS or Sage to run reports and access data securely from anywhere
- Construction – Site teams use hosted platforms to access project documents and communicate in real time
- Healthcare – Secure, compliant hosted environments to manage sensitive patient data
- Retail & Hospitality – Hosted POS systems, stock management and team scheduling tools
- Legal – Secure access to client files and document storage without relying on in-office servers
Whether you’re using cloud hosting services to support remote teams or setting up dedicated environments through dedicated hosting, the goal is the same: simplicity, security and flexibility.
How Hosted Services Help Accountants Work Smarter
Hosted services are particularly valuable for accountancy practices that rely on stable, secure software access. Many firms use legacy tools like IRIS, Sage, or QuickBooks – tools that work best in hosted desktop environments.
Instead of depending on in-house infrastructure (and the costs and downtime that come with it), accountants can access everything they need through a secure hosted setup. This means:
- No more patchy local installs or software crashes
- Remote access to sensitive files with encryption and compliance built in
- Automatic updates and backups, so nothing gets lost
For firms managing multiple clients, documents and deadlines, hosted services free up time, reduce IT stress, and create a more flexible way of working.
Cloud Services vs Hosted Services – What’s the Difference?
They’re often used interchangeably, but there are some subtle differences:
- Cloud services are hosted on shared infrastructure (e.g. Google Cloud, AWS, Microsoft Azure)
- Hosted services may be on dedicated infrastructure, managed privately for you
Both models give you remote access and flexibility – but hosted services tend to offer more personalisation and tailored support, especially when delivered by UK-based providers.
Think of hosted services as a part of broader cloud computing services, giving you access to the software applications, web servers, and storage tools you need – all without investing in the necessary infrastructure yourself.
What Hosted Services Look Like with Cloud2Me
At Cloud2Me, we provide hosted desktops, apps and infrastructure that keep your business moving securely. Whether you need to run Sage from a hosted desktop or store sensitive client files on a secure UK-based VM, we make it happen.Our team takes care of the hosting, updates, support and security, so you can focus on running your business. With options for dedicated servers, disaster recovery, and scalable virtual machines, we help you maintain complete control without needing in-house expertise.
Final Thoughts
Hosted services are about working smarter, staying secure and saving time. Whether you’re a small accounting firm or a 100-strong agency, hosted services give you the tools to stay agile, protected, and productive.
Want to see how hosted services could work for your business? Let’s chat.
Written by Helen Brooks at Cloud2Me
