Mark IT Solutions

Tally on Cloud vs Local Server: What Mumbai Traders Need to Know in 2026

10 min read
Tally on Cloud vs Local Server comparison

As a Mumbai business owner, you've probably heard about Tally on Cloud and wondered if it's the right choice for your trading or manufacturing business. With high rents pushing businesses to optimize space and the need for remote access growing every year, understanding your Tally hosting options is more important than ever.

This guide compares Tally on Cloud vs Local Server hosting, breaking down the costs, benefits, and scenarios where each option makes the most sense for Mumbai-based businesses.

Understanding Your Two Options

What is Local Server Hosting?

Local server hosting means your TallyPrime software and data files sit on a computer in your office. This is the traditional approach that most businesses have used since Tally's inception. You own the hardware, control the data, and manage everything yourself (or hire IT support).

What is Tally on Cloud?

Tally on Cloud means your TallyPrime software runs on a remote server hosted by a cloud provider. You access it through the internet using Remote Desktop or a web browser. Your data lives on the cloud server, not on your office computer.

Cost Comparison: 5-Year Total Cost of Ownership

Let's break down the real costs for a typical Mumbai trading business with 3-5 users:

Cost Factor Local Server Tally on Cloud
Initial Hardware ₹60,000 - ₹1,00,000 ₹0
Annual Hosting ₹0 ₹30,000 - ₹60,000/year
IT Maintenance ₹10,000 - ₹20,000/year ₹0 (included)
UPS/Power Backup ₹15,000 - ₹30,000 ₹0
Hardware Replacement (5 years) ₹40,000 ₹0
5-Year Total ₹1,65,000 - ₹2,50,000 ₹1,50,000 - ₹3,00,000

The verdict: Costs are comparable over 5 years. The choice depends more on your operational needs than pure cost savings.

When Local Server Makes Sense

Choose local server hosting if:

  • Your team works from one office: All users are in the same location in Kalbadevi, Masjid Bunder, or your factory premises.
  • You have unreliable internet: Areas with frequent power cuts or poor broadband connectivity.
  • High transaction volumes: Data entry speed matters and you can't afford any network lag.
  • Existing IT infrastructure: You already have a server and IT team managing it.
  • Regulatory requirements: Some industries require data to be stored on-premises.

When Tally on Cloud Makes Sense

Choose Tally on Cloud if:

  • You need remote access: Check sales from home, while traveling, or from multiple locations.
  • No IT team: You don't want to manage servers, backups, or security updates.
  • Branch offices: Multiple locations need to access the same Tally data.
  • High real estate costs: Mumbai office space is expensive; reduce server room requirements.
  • Business continuity: Cloud providers handle backups, disasters, and uptime guarantees.

Security Comparison

Local Server Security

  • You control physical access to the server
  • No internet exposure (unless you enable remote access)
  • Risk: Staff data theft, hardware failure, fire/flood damage
  • Backup responsibility is on you

Tally on Cloud Security

  • Enterprise-grade data centers with 24/7 security
  • Encrypted connections (SSL/TLS)
  • Daily automated backups (often multiple times per day)
  • Risk: Dependent on provider's security practices
  • Choose ISO-certified providers for peace of mind

Remote Access: The Mumbai Business Reality

Mumbai businesses face unique challenges:

  • Long commutes: Business owners spending 2-3 hours daily in traffic want to check reports from home.
  • Multiple godowns: Stock in Bhiwandi warehouse, office in Masjid Bunder, home in Andheri.
  • Travel requirements: Visiting clients, suppliers, or trade shows while needing Tally access.

Tally on Cloud solves these problems elegantly. You can access your complete Tally data from any device, anywhere, without complex VPN setups.

Mark IT Solutions: Your Cloud Hosting Partner

As a 5-Star Certified Tally Partner, Mark IT Solutions offers both options:

  • Local Server Setup: We'll install, configure, and provide AMC for your on-premises Tally server.
  • Tally on Cloud: We provide managed cloud hosting with 99.9% uptime, daily backups, and 24/7 support.
  • Hybrid Solutions: Local server with cloud backup for businesses that need both.

Not sure which option is right for you? Contact us for a free consultation. We'll assess your business needs and recommend the most cost-effective solution.

Frequently Asked Questions

What is Tally on Cloud?

Tally on Cloud is a hosting service where your TallyPrime software and data run on a remote server accessible via the internet. You connect through Remote Desktop or a web browser from any device, anywhere.

Is Tally on Cloud safe for sensitive business data?

Yes, reputable cloud providers use enterprise-grade security including encrypted connections (SSL/TLS), daily backups, firewalls, and access controls. Your data is often safer than on a local office computer.

Can I access Tally on Cloud from my mobile phone?

Yes, you can access Tally on Cloud from any device including mobile phones and tablets using Remote Desktop apps. For a native mobile experience, consider the Tally Mobile App (BizAnalyst).

What internet speed do I need for Tally on Cloud?

A stable broadband connection of 10 Mbps or higher is recommended. 4G/5G mobile data also works but wired broadband provides a smoother experience for data entry.

What happens if my internet goes down?

You cannot access your data without internet. This is why some businesses keep a local backup or use hybrid setups. Your data remains safe on the server and reconnects when internet restores.

Need Help Deciding?

Our Tally experts can assess your business needs and recommend the right hosting solution.

Get Free Consultation
Mark IT Solutions

About Mark IT Solutions

5-star certified Tally partner in Mumbai with 20+ years of experience. We provide TallyPrime sales, cloud hosting, customization, and support services.

Learn More
Mark IT Solutions Team

About Mark IT Solutions Team

With over 20 years of experience, Mark IT Solutions is a certified 5-star Tally partner in Mumbai. We specialize in TallyPrime implementation, customization, training, and support for businesses across India.

Share this article