One of iCloud’s biggest problems comes from its iOS origins: There’s no easy way to open, say, a TextEdit document in another app for viewing and editing. To do this, you need to either open the source app (TextEdit, in this case), use the iCloud document picker and then drag the file to the target app, or you need to go digging around inside your (hidden) Library folder to find the local copies of your iCloud documents.
The first is a real pain. The second is — as anyone who has ever dug around inside an iPhoto bundle will tell you — a really, really bad idea. Luckily, for LaunchBar users, the answer is (literally) a few taps away.