Shaper accountants

Cloud accounting and Xero experts

Call 01603 516304 or get in touch here

Insight and intelligence from Shaper Accountants

discover a new approach to accounting

  Book a consultation 

Moving to Xero – What could go wrong?

Use a Specialist Xero Accountant

It’s Summer time and Xero Accounting Software have launched a time limited offer to switch from Sage software at no cost – there’s never been a better time to move from Sage to Xero. So you might be wondering:

What could possibly go wrong?

We’re open and honest, so we’ll give you the heads up.

There are 2 main approaches when switching accounting software, either,

  • Bring some accounting transaction history with you onto Xero or make a clean break and
  • Bring the opening balances only across to Xero.

Generally, most businesses, like the idea of bringing as much history as possible. And most businesses expect to see the same general ledger format – keeping the same chart of accounts and account codes. If you’re a Business Start-up with little or no history, you can just start, once you’ve subscribed. You may well hit some of the same problems as switchers, if you aren’t in the safe hands of a Xero specialist Accountant.

Moving your accounting records to any new system is not pain-free. 

There is a firm called Ledgerscope – Movemybooks – who offer a software programme to convert 12 or 24 months data over to Xero, and for a limited time this will cost you nothing – Xero pays for it! This is only part of your conversion process. Once the technical system work is done, the checking needs to begin. Not only that, you or your Xero Accountant will need to continue the set up process in order for things to run smoothly.

What could go wrong?

Well, the common problems for DIY small businesses are:

  • Some business owners don’t realise that the technical data conversion doesn’t include re-establishing the fixed asset register, along with the depreciation schedule. So, you or your Xero Accountant need to do this. That way you get the full automation of your depreciation, and you keep track of your fixed assets.
  • The VAT account must be reconciled to agree to the Sage data and the last VAT return. That way you don’t come a cropper with HMRC, and you have VAT confidence going forward.
  • The conversion balances for debtors and creditors will need the actual invoices making up the balances, entered onto Xero. This is so when bills are paid or sales invoices settled you can allocate the bank payments. This will give the full easy experience of reconciling the bank and matching off your transactions.

To avoid extra stress of switching your small business accounting software always make a plan, and do some pre switch day preparations. If you have staff, help them get on board well before the switch over. Find out if your accountant will provide some training to get started, or a presentation to your team. Make sure you have any Sage back up or reports you need so you can cross check and reconcile as you go. Most of all, if you need support both your accountant and the Xero team can offer help.

You can get the Summer Sage switch for Free offer through us, or any Xero passionate Accountants.

For a Demo of how Xero will benefit your business get in touch on