Switching from KashFlow to Xero can streamline your accounting with Xero’s cloud-based features, real-time insights, and seamless integrations. However, migrating without losing data requires careful planning and execution. This guide provides a detailed, numbered step-by-step process for exporting data from KashFlow, formatting it for Xero, and verifying data integrity. We’ll also cover tools like MoveMyBooks, the role of Xero-certified advisors, and include a downloadable checklist to ensure a smooth transition.
Why Migrate from KashFlow to Xero?
Xero offers several advantages over KashFlow, making it a popular choice for businesses transitioning to cloud accounting:
- Real-Time Financial Data: Access cash flow and financial insights anytime, anywhere.
- Scalability: Xero’s pricing and features adapt to growing businesses.
- App Integrations: Connects with over 500 apps, including payroll and payment platforms like Stripe.
- Automatic Updates: Stay current with the latest features without manual upgrades.
However, KashFlow and Xero handle data differently, so a structured migration process is critical to avoid data loss.
Step-by-Step Guide to Migrate from KashFlow to Xero
Follow these steps to ensure a seamless KashFlow to Xero migration without losing data.
1. Assess Your Current KashFlow Setup
Before migrating, document your existing KashFlow setup to ensure all critical data is transferred.
- Identify Data to Migrate: Common data includes:
- Chart of Accounts
- Customer and supplier details
- Invoices, bills, and payments
- Bank and credit card transactions
- Products and services
- General ledger transactions
- Review Customizations: Note any custom reports, integrations, or workflows that need replication in Xero.
- Choose Migration Period: Select up to 24 months of historical data (Xero’s free conversion limit via MoveMyBooks). Avoid high-volume periods like tax season for minimal disruption.
2. Back Up Your KashFlow Data
Protect your data by creating a full backup before starting the migration.
- Export Data from KashFlow:
- Log in to KashFlow and navigate to the “Reports” or “Settings” section.
- Export key data as CSV files, including:
- Chart of Accounts
- Customer and supplier lists
- Transaction history (invoices, bills, payments)
- Products and services
- Bank transactions
- Save these files in a secure location.
- Verify Backup: Ensure all files are complete and accessible.
3. Set Up a Xero Account
Prepare Xero to receive your KashFlow data.
- Create a Xero Organization: Sign up for a Xero free trial or subscription if you don’t have an account. Ensure the organization is empty to avoid conflicts during import.
- Configure Basic Settings:
- Set up your company details (name, address, tax settings).
- Choose your financial year-end and conversion date (the date you officially switch to Xero).
- Assign User Roles: Define permissions for team members or advisors.
4. Format Data for Xero
KashFlow and Xero have different data structures, so you’ll need to format exported CSV files to match Xero’s templates.
- Download Xero’s Templates: Access import templates from Xero Central (under “Accounting” > “Import Data”). Templates are available for:
- Chart of Accounts
- Contacts (customers and suppliers)
- Invoices and bills
- Bank transactions
- Products and services
- Map KashFlow Data:
- Open each KashFlow CSV file and align columns with Xero’s template fields (e.g., account name, type, tax code).
- Rename or reformat columns as needed. For example, KashFlow’s “Product Description” may not map directly, so add it manually if required.
- Clean Data: Remove duplicates, correct errors, and ensure consistency (e.g., matching tax codes).
5. Use a Migration Tool (e.g., MoveMyBooks)
For a faster, automated migration, use Xero’s partner tool, MoveMyBooks, which is free for up to 24 months of data.
- How to Use MoveMyBooks:
- Sign up at movemybooks.co.uk and create a login.
- Upload your KashFlow backup file or authorize access to KashFlow.
- Connect MoveMyBooks to your empty Xero organization by clicking “Authorize.”
- Select the data to migrate (e.g., current year plus previous year).
- Submit the conversion request. Processing typically takes 2-3 hours, though large datasets may take days.
- What MoveMyBooks Transfers:
- Chart of Accounts
- Contacts (active only, inactive on request)
- Invoices, bills, and payments
- Bank transactions (including reconciliations)
- Credit card and PayPal accounts (converted as Xero bank accounts)
- Limitations:
- Does not transfer invoice descriptions, quantities, or product details beyond code and name.
- Jobs are not migrated as Xero tracking classes.
- Cost: Xero covers the cost for standard migrations (up to 24 months). Additional years cost £75 per year (excluding VAT).
6. Import Data into Xero
If you’re manually importing or supplementing MoveMyBooks, use Xero’s import function.
- Navigate to Import:
- Go to “Accounting” > “Import Data” in Xero.
- Select the data type (e.g., Contacts, Invoices).
- Upload CSV Files:
- Upload your formatted CSV files one at a time.
- Map fields if prompted (e.g., KashFlow’s “Customer Name” to Xero’s “Contact Name”).
- Review Errors:
- Xero will highlight issues (e.g., missing fields or invalid formats). Fix these in the CSV and re-upload.
- Enter Opening Balances:
- Go to “Accounting” > “Advanced” > “Conversion Balances.”
- Enter opening balances for bank accounts, accounts receivable, and accounts payable as of the migration date.
7. Verify Data Integrity
After importing, check that all data transferred accurately to avoid discrepancies.
- Compare Reports:
- Generate Trial Balance, Profit and Loss, and Balance Sheet reports in both KashFlow and Xero.
- Ensure balances match for customers, suppliers, and accounts.
- Reconcile Transactions:
- Verify invoices, bills, and bank transactions in Xero against KashFlow records.
- Check that reconciled bank transactions in KashFlow remain reconciled in Xero.
- Test Workflows:
- Create a test invoice or bill in Xero to ensure settings and data align with your processes.
- Review Limitations:
- Confirm any non-transferred data (e.g., invoice descriptions) has been manually entered or addressed.
8. Configure Xero Settings
Personalize Xero to match your business needs.
- Set Up Bank Feeds: Connect your bank accounts to Xero for automatic transaction imports.
- Integrate Apps: Add apps from the Xero App Store (e.g., Stripe for payments, Hubdoc for expense tracking).
- Customize Reports: Create templates for recurring reports like VAT returns or cash flow statements.
- Payroll Setup: Migrate employee data and configure payroll settings if applicable.
9. Train Your Team
Ensure your team is comfortable with Xero to maximize efficiency.
- Access Xero Training:
- Enroll in Xero’s free online courses or webinars via Xero Central.
- Book live training with a Xero-certified advisor for tailored guidance.
- Explore Resources:
- Use Xero’s help guides and 24/7 support for troubleshooting.
- Watch tutorials on invoicing, bank reconciliation, and reporting.
- Run Parallel Systems:
- Operate KashFlow and Xero simultaneously for a short period to address any issues before fully switching.
10. Finalize the Transition
Once you’re confident in Xero’s setup and data accuracy, complete the switch.
- Cancel KashFlow Subscription: Ensure all data is backed up and migrated before canceling to avoid data loss.
- Notify Stakeholders: Inform your accountant, team, and clients (if applicable) about the switch to Xero.
- Monitor Performance: Use Xero’s dashboard and analytics to track financial health and leverage new features like cash flow forecasting.
Common Pitfalls and How to Avoid Them
- Data Loss: Always back up KashFlow data before migration. Double-check non-transferred fields like invoice descriptions.
- Formatting Errors: Use Xero’s templates to avoid import failures. Test with a small dataset first.
- Reconciliation Issues: Ensure bank transactions are reconciled in KashFlow before migrating to maintain accuracy in Xero.
- Lack of Training: Invest time in Xero training to avoid workflow disruptions.
Conclusion
Migrating from KashFlow to Xero without losing data is achievable with careful planning, the right tools, and expert support. By following this step-by-step guide, using tools like MoveMyBooks, and leveraging Xero-certified advisors, you can transition to Xero’s powerful cloud accounting platform seamlessly. Download the checklist, verify your data, and start enjoying Xero’s real-time insights and scalability.
For personalized assistance, book a discovery call with a Xero-certified advisor or contact migration experts like Cloud Accounting or MMC Convert.
