As more and more business owners are finding out about the goldmine of web-based services available, there has been a noticeable surge in the industry. In 2007, about 27 percent of small and medium-sized businesses used at least one web-based service – that’s up from 9 percent in 2006.

The benefits of using web-based services

Cost – Because of the shear number of web services available, most are available either for free or for a low monthly cost.

Storage – With web-based services, your business can avoid the astronomical cost of having its own web server because your information will be stored on their server.

Selection – It seems that there are hundreds of new web-based services popping up each and every day. If you’re thinking about buying an expensive piece of software, first take a look online for a similar web-based service. Chances are that it exists and is much cheaper than the software version.

The drawbacks of using web-based services

Security – Some people worry about the security of their company’s information since it’s stored on another company’s servers and not theirs. For any web-based service you decide to use, be sure to check the company’s security certificates before uploading any sensitive information.

Online – Most web-based services only work if you are connected to the internet, which may be a problem if you or your employees are frequent travelers. In that case, you may want to go with a web-based service that allows you to download documents so that you can work on them offline.

Fewer options – Not always, but sometimes web-based services offer less choices than their software counterparts. If you are looking for a specific feature on an application, be sure to ask if it’s included.

If you think using a web-based service might be right for your company, then you may want to consider some of these small business favorites:

All things Google – Google is known for having some of the best web apps out there – Google Docs, Gmail, Maps, Calendar, Notebook, etc. They are all simple to use and set up – once you start using them you’ll wonder why you never took advantage of them before!

SplendidCRM – Businesses can easily spend thousands on customer relationship management (CRM) software, but with this web app there’s no reason to! Keep track of all your contacts, customers and potential customers in one easy place.

Zoho – This company offers a wide variety of web-based services – wiki, CRM, writer, spreadsheets, planners, etc. You’ll be amazed at how useful all of these programs are.

Yapta – This web-based service can actually save you money. Just enter your flight information and Yapta will alert you when the price of your plane ticket drops and you’re eligible for money back from the airlines.

Quickbooks Online – Just like the expensive accounting software – except all your files are stored on the site’s server, instead of yours.

Constant Contact – One of the best ways to create and send out an email campaign from your business. There are plenty of options to choose from to customize your mailing with logos, fonts and pictures.

Packetel – A web-based service that allows you to have a digital fax machine. When a fax comes in you can either retrieve it online or you can have it emailed to you.

There are literally thousands of other web-based services available, so if there’s a service or software you need, you can bet you’ll find a web application for it. Be sure to test a service out before committing to it – you might find that you prefer one service over another.