skip to Main Content
Migrating To Xero? Here’s What You Need To Know

Migrating to Xero? Here’s what you need to know

In 2017, Xero was named the most-loved accounting software for the third year running.

Earning top marks across six out of a possible seven categories, it’s little wonder so many businesses are opting to make the switch. And while it’s a move we fully endorse, it’s not one to be taken lightly.

Here we take a look at a few key considerations you need to keep in mind when moving to Xero.

3 Key Considerations When Switching to Xero

1. You Need Tidy Historical Data

The most efficient and painless way of adopting Xero is to start with a blank slate. Simply enter your opening balances and work from that point onwards. However, if you wish to have all of your company’s financial information in one place – useful for audits or to compare business performance – you will need to import your historical data.

You have two options; you can manually input the data, or you can use Xero’s data conversion tool to grab your transactions from another cloud accounting platform or an Excel spreadsheet. And if you choose the latter approach, you need to ensure your historical data is neat and tidy before converting it, otherwise, you’ll simply be making more work for yourself or your accountant once you have Xero up and running.

2. Prioritise Bank Feeds

One of the most attractive features of Xero is its ability to securely integrate with your business bank account, providing you with a steady stream of fresh and up-to-date financial information.

Generally speaking, this is a simple and straightforward matter of entering your online banking details into Xero to log in and start the bank feed. However, not all banks will allow you to do this. If yours is one unwilling to play ball, you can circumvent this issue by using a piece of software called Yodlee (read the Xero setup guide here). And occasionally some banks will require written authorisation prior to starting a feed to a third party application.

Bank feeds are essential to making the most of Xero, so prioritise their setup as soon as you’ve signed up.

3. Minimise Disruption with a Customised Chart of Accounts

When you first make the switch to Xero, you will have the option of using their default chart of accounts. However, if you have already established a chart of accounts prior to migrating to Xero, there exists the possibility of disruption.

To sidestep this and minimise mistakes, customise the chart of accounts in Xero to match your existing way of working. Learn how to tailor your chart of accounts here.

Make the Move with Stepping Stone

Switching to a new cloud accounting platform doesn’t have to be daunting. In fact, it can be the positive step you need to make to take your business to the next level.

And we can help you make that move. Our friendly team of experts are here to oversee your transition to Xero.

Contact us today to get started.

Open Popup #1 Back To Top