This study aims to investigate the level of intention among Malaysian SMEs in North Borneo, particularly in Sarawak, to adopt cloud accounting services using the Technological-Organizational-Environmental (TOE) model. Considering that cloud accounting adoption is still at an early stage in the region, the study aims to contribute to a better understanding of the factors that influence the intention to adopt cloud accounting. This study aimed to determine whether perceived utility, support from senior management, and competitive pressure influenced the intention to adopt cloud accounting. 128 SME owners/managers in Sarawak participated in an online survey for this study. The collected data was analysed using the PLS-SEM technique to increase the variance explained by endogenous constructs. The study indicated that management support and competitive pressure were key drivers in Sarawak SME adoption of cloud accounting, while perceived usefulness had no significant relationship. The study recommended IT developers to create user-friendly interfaces and functional utilities to enable SMEs with limited technology knowledge and ability to adopt cloud computing. The study provided guidance in rationalizing risks accompanied with CA environments in a way to promote a better understanding of cloud services. This study contributes to a better understanding of the factors that influence the intention to adopt cloud accounting services in an underexplored region. The limitation of this study is company participation; a bigger sample would have helped the researchers gather broader viewpoints and verify the findings. 

Highlights

• This study used the TOE model to investigate the factors influencing Sarawak SMEs’ intention to adopt cloud accounting. Results showed that management support and competitive pressure were key drivers, while perceived usefulness had no significant relationship. The study recommends userfriendly interfaces and rationalizing risks to promote adoption.