How to Reduce Capital Expenses by Using the Cloud

Written by
Russell Greenwald

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Small businesses and nonprofit organizations are faced with the challenge of managing their costs and spending and implementing technology to leverage their resources and support achievement of their business goals. As every dollar counts, many nonprofits utilize Cloud solutions because they are often the most cost-effective and sustainable technology solution.

How Cloud Computing Can Save You Money:

1. Productivity increases– Cloud computing allows you and your staff access to applications and data from different computers and devices.

2. Reduction in hardware costs– Instead of purchasing equipment, hardware needs are left to the vendor. For organizations that are growing quickly, new equipment can be a large and expensive endeavor. Cloud computing offers resources that can quickly and easily be added and the cost of repairing or replacing equipment is absorbed by the vendors.

3. Combine applications– Cloud solutions may offer you the ability to consolidate your individual application needs into one multi-application cloud service.

4. Save time & money with automatic updates– Cloud computing applications are frequently updated, no need to spend the time running the updates on your own.

5. Pricing flexibility– Typically, cloud solutions offer a pay-as-you-go pricing model. This format provides not only savings but offers flexibility a growing organization may need.

6. Save space & energy– Without the need to have massive servers or store physical files cloud solutions can save precious office space and can help cut energy expenditures.

Two of the most popular cloud vendors, Microsoft Azure Cloud (Azure) and Amazon Web Services Cloud (AWS), offer secure Cloud services that provide computing power, backups and disaster recovery services, database storage, content delivery, and other functionality without requiring organizations to invest in physical infrastructure.

Did you know that both Microsoft and Amazon offer thousands of dollars in cloud discounts specifically for nonprofits?


As part of their $1 Billion “Public Cloud for the Public Good” commitment, Microsoft offers a program specifically geared towards qualified nonprofit organizations. Azure Credit Program for Nonprofits:

  • Offers $5,000 in credits annually which can be applied towards the complete portfolio of Azure services.
  • The primary approach to receiving discounts on Azure is through your Microsoft Enterprise Agreement (EA). Any EA customer can add Azure to their EA with an upfront financial commitment to Azure. That commitment is consumed throughout the year by using any combination of cloud services.

Want to learn more? We’re presenting a free webinar on Azure Cloud Discounts for Nonprofits on 3/7. Click to register.


In 2016, AWS partnered with TechSoup Global to provide AWS credits to nonprofits. Through the AWS Credit Program, nonprofits can select packaged AWS Cloud services. AWS Credit Program for Nonprofits:

  • Makes a grant of $2,000 annually in credits to eligible 501(c)(3) organizationsSign-up through TechSoup ($175 admin fee each year)
  • Apply these service credits toward usage fees for AWS on-demand Cloud services and certain AWS support fees.

In addition to the AWS Credits Program for Nonprofits, AWS offers the AWS Free Tier for all new customers for 12 months following the organization’s sign-up date. The AWS Free Tier is a separate offer from the AWS Credits Program and allows new customers to use certain AWS services for free up to certain usage limits. The AWS Free Tier is available for one AWS account only per organization.

How to Make Cloud Services Work for You?

Cloud solutions are an attractive option for both small businesses and nonprofits – they offer flexibility, savings on infrastructure costs and improved methods for collaboration. Comparing pricing among the major Cloud vendors, like AWS and Azure, is a complex process and the array of offerings and discounts can be overwhelming. Insource IT experts can guide you through understanding and choosing the right Cloud-based system(s) to meet your current and future needs. Contact us at or (781) 235-1490.