Cloud: Lower initial capital costs and predictable recurring expenses

Cloud services virtually eliminate the need for large infrastructure investments, allowing customers to obtain IT services without major capital expenditures. Cloud services are typically subscription-based. In businesses where cash flow is a top concern, prepackaged cloud solutions offered at predictable monthly subscriptions rates may be ideal. Larger organizations often appreciate the shift to operating costs rather than initial capital expenditures, which can result in a healthier balance sheet. (source: Microsoft Online Services)