Moving from a legacy system, spreadsheets, or a shoebox of receipts to a cloud accounting package can sound like a daunting prospect. In practice, it’s a straightforward process, and most of the disruption people worry about won’t materialise if things are set up properly from the start.
At Beancounters, we handle the full switch for clients and can get you up and running in no time. Here’s what that process actually covers.
1. Choose a conversion date
The first decision is when to make the switch. The start of a VAT period, the start of a new financial year, or simply the start of a calendar month all work well, since they give you a clean cut-off point rather than transactions straddling old and new systems.
2. Plan for VAT returns and year-end
Before anything starts, we map out how the transition affects your upcoming VAT return and year-end accounts, so nothing falls through the cracks when you’re between systems. This matters most for businesses midway through a VAT period at the point of switching.
3. Set up user accounts
Everyone who needs access – you, your bookkeeper, finance staff, your accountant, or auditors – gets their own login with the right level of access. For example, someone processing invoices doesn’t need the same permissions as someone approving payments.
4. Design your invoice layout
We set up your invoice template with your logo, colours, and the fields you need (like VAT number, bank details, and payment terms), so that professional-looking and legal invoices go out from day one.
5. Import customer and supplier details
Rather than inputting all your contacts manually, we import your existing customer and supplier lists, along with relevant details like payment terms and contact information, so you’re not starting with a blank address book.
6. Set up your Chart of Accounts
The Chart of Accounts is the structure behind your reports – the categories that income and expenses get coded to. Getting this right early means your reports are useful and accurate from the first month, rather than needing a clean-up later.
7. Connect your bank account(s)
We make sure your business bank account(s) are connected to your accounting software so that transactions flow in automatically via live bank feeds, cutting out manual entry from day one.
8. Input reconciled opening balances
Whatever your financial position was at the point of switching (for instance, if you had outstanding invoices or unpaid bills) will be carried across accurately so your new system starts in agreement with your old records.
9. Organise training for users
Once the new accounting system is live, we make sure everyone who will use it knows how to perform their tasks/responsibilities effectively and efficiently, making the most of automations and other smart features.
Making the switch easy for you
You don’t need to become an expert in the software yourself; just learn how to use it day-to-day. We take care of the background tasks, and there is minimal disruption to how you’re currently invoicing, paying suppliers, or tracking cash flow. Talk to us today about switching to cloud accounting; we can advise on the right package for your business, along with the add-ons (payroll, payment integrations, expense tracking) that connect to it.
Beyond Accounting has been an official Xero Partner for over a decade. We help customers make the switch to online accounting all the time and provide Xero training too. Get in touch today to see how we can help you switch.