In today's business environment, digital transformation is becoming imperative to increase the efficiency and competitiveness of organizations. Cloud accounting, as part of this transformation, provides companies with a more flexible, accessible and often cost-effective approach to bookkeeping. This paper explores the level of awareness, technical readiness, security issues, cost aspects and legislative framework related to the implementation of cloud accounting solutions in Bosnia and Herzegovina. The research is based exclusively on secondary sources – statistical data, reports of IT companies (e.g. Datalab, Infosoft, Pantheon), market analyses and available literature. The goal is to provide insight into the current state of cloud accounting application in BiH, identify key obstacles and propose measures to improve its use. The results of the research show that although there is some progress in digitalization, the application of cloud accounting still faces a number of challenges, especially in the area of information and trust in data security.