Thinking about moving from Sage Intacct to a more agile cloud accounting platform? You’re not alone.
In 2025, more finance teams are re-evaluating their systems and choosing Sage Intacct to Xero migration as a smarter, more flexible alternative. While Sage Intacct offers strong ERP-level features, many businesses find it increasingly complex, costly, and harder to maintain especially if they don’t need all the advanced enterprise-level customisations.
Xero, on the other hand, offers real-time financial visibility, automated bank feeds, seamless integrations, and intuitive dashboards all without the steep learning curve. For companies that want to reduce software overhead, improve agility, and modernise their accounting processes, switching from Sage Intacct to Xero makes financial and operational sense.
That said, the journey isn’t always straightforward. Migrating your data between two very different platforms comes with challenges especially when you’re dealing with multi-entity structures, complex chart of accounts, and historic financial records.
Whether you’re preparing to move to Xero or just exploring your options, it’s crucial to understand what obstacles may arise during the transition and how to solve them effectively. In this guide, we’ll walk you through the top 10 challenges of Sage Intacct to Xero migration and show you exactly how our experts at Cloud Accounting help overcome each one.
Challenge 1: Chart of Accounts Mapping Issues
One of the first challenges in any Sage Intacct to Xero migration is handling the chart of accounts. Sage Intacct allows for complex account hierarchies, sub-accounts, and segmented structures. Xero, by contrast, has a flatter chart of accounts, with fewer layers and less room for over-customisation.
If you try to lift-and-shift the structure directly, it often results in confusion, broken reports, or a bloated setup that doesn’t suit Xero’s streamlined design.
This is where many businesses run into trouble when they migrate from Sage Intacct. Without careful planning during your Sage Intacct to Xero migration, you may end up with inconsistent categories, misaligned reporting codes, or duplicate account names.
Challenge 2: Multi-Entity Migration and Consolidation
For companies operating across regions or business units, Sage Intacct to Xero migration introduces a unique challenge: handling multi-entity structures. Sage Intacct is known for its robust entity management, supporting granular reporting, intercompany transactions, and consolidated financials. Xero, while powerful, takes a different approach.
Instead of built-in multi-entity support, Xero relies on tracking categories, custom reports, and sometimes add-ons to manage group structures. This shift can cause issues during the migration process if not planned correctly.
Businesses that migrate from Sage Intacct often need help restructuring their setup. For example, intercompany journals must be manually recreated, and entity-specific data needs to be filtered or tagged using Xero’s tools. Without expertise, there’s a real risk of losing reporting accuracy or compliance oversight.
At Cloud Accounting, we design a tailored consolidation strategy as part of every Sage Intacct to Xero migration. We assess how your entities are structured, determine whether you need separate Xero files or one group setup, and configure tracking to maintain clarity across divisions.
We also help with historical data preparation, ensuring that each entity’s financial trail remains intact. Whether you’re handling three subsidiaries or thirty, our team ensures that your move to Xero doesn’t compromise your group-level reporting.
For growing businesses expanding globally, getting this part right is critical. Let our experts take the stress out of your Sage Intacct to Xero migration with proven multi-entity migration support.
At Cloud Accounting, we handle this by running a full audit of your existing Sage Intacct accounts and translating them into a Xero-ready structure. We simplify where needed while preserving the granularity required for your reporting and compliance needs.
We also take care of merging or reclassifying accounts that no longer serve a purpose, giving you a clean, scalable setup in Xero. This isn’t just a data migration it’s a financial upgrade.
With our expert guidance, you can move to Xero with a fully optimised chart of accounts that supports better tracking, reporting, and decision-making from day one.
Need help with your chart of accounts planning for a Sage Intacct to Xero migration? Book a discovery call with our specialists today.
Challenge 3: Departments and Projects Mapping to Xero Tracking
Sage Intacct users often rely on department codes and project dimensions for granular reporting. But during a Sage Intacct to Xero migration, this data doesn’t automatically map over in a one-to-one way. That’s because Xero uses a different system tracking categories and tracking options to organise business segments.
This change in structure can be confusing. If you simply export Sage Intacct data and import it into Xero without a tracking framework, you’ll lose the ability to report by department, team, or project. That’s why one of the biggest pitfalls when you move to Xero is skipping this critical planning step.
When you migrate from Sage Intacct, all department and project codes need to be reviewed, rationalised, and remapped into Xero’s two-tier tracking system. Many businesses also find that some tracking needs can be addressed more effectively through apps or custom reports.
Our team handles this as part of every Sage Intacct to Xero migration. We begin by auditing how you currently track your operations. Then, we create a tracking structure in Xero that mirrors your reporting needs while keeping the system simple and scalable.
Whether it’s separating departments, business units, or customer segments, our approach ensures your insights remain intact post-migration. We also train your team on how to use Xero tracking properly, so they get full value from the new setup.
Preserving your department and project-level visibility is key to a successful Sage Intacct to Xero migration and we make sure you don’t miss it.
Challenge 4: Multi-Currency Data and Exchange Rate Accuracy
If your business operates globally, managing multi-currency accounts is a major consideration during a Sage Intacct to Xero migration. Sage Intacct has built-in multi-currency functionality with automated exchange rate tracking, revaluation journals, and consolidated foreign currency reporting.
Xero supports multi-currency as well, but the way it handles exchange rates and revaluations differs. This mismatch can cause problems if your historical data is transferred without proper adjustments. For example, if historical rates aren’t retained correctly, your balance sheets or profit margins may appear inaccurate after migration.
When companies migrate from Sage Intacct, they often struggle to retain currency accuracy—especially if they’re dealing with multiple banks, foreign suppliers, or intercompany transactions. One misstep can distort financials and lead to reporting errors.
At Cloud Accounting, we manage multi-currency transitions with precision. As part of your Sage Intacct to Xero migration, we preserve the original exchange rates from your Sage Intacct records. We also identify any manual adjustments needed to ensure accuracy in Xero’s ledger.
Additionally, we help configure your currency settings in Xero so that future transactions and reports stay aligned with your business structure. Our team is experienced with both IFRS and GAAP compliance across multiple jurisdictions, so you can trust that your move to Xero meets global standards.
Don’t let currency discrepancies affect your reporting. Our specialists ensure that your Sage Intacct to Xero migration is accurate, auditable, and ready for global business.
Challenge 5: Historical Data Import and Reconciliation
Migrating financial data is never just about closing balances. During a Sage Intacct to Xero migration, businesses often want to retain years of detailed transaction history customer invoices, supplier bills, journals, bank statements, and more.
However, Xero doesn’t natively support importing full historical detail in the same way Sage Intacct does. It has import limits and a different data structure, which means transactions need to be carefully restructured to fit. If you overlook this, you may lose access to audit trails, payment records, or even VAT history.
This is a frequent pain point for companies that migrate from Sage Intacct. They often find that only part of their historical data was moved, leaving gaps in reconciliation or compliance reporting.
At Cloud Accounting, we specialise in complete historical data migration. As part of your Sage Intacct to Xero migration, we convert all essential transaction records—including foreign currency data and departmental tagging into a format Xero can accept. We ensure that bank reconciliations match and that opening balances are verified to the penny.
We also help you decide how much history is practical to bring over—balancing detail with system performance. Whether you need one year or seven, we handle the entire import and reconciliation process.
Accuracy matters. That’s why our clients rely on us to make their Sage Intacct to Xero migration clean, comprehensive, and audit-ready from day one.
Challenge 6: Migrating Payroll Data
Payroll is one of the most sensitive components of any Sage Intacct to Xero migration. It involves employee records, tax settings, pay templates, benefits, and historical payslips. If any part is missed or mapped incorrectly, it can lead to payroll errors, compliance issues, or unhappy staff.
Sage Intacct’s payroll functionality often integrated with third-party systems tends to be more customisable and entity-specific. When you migrate from Sage Intacct, translating that data into Xero’s payroll module requires careful handling. Xero has its own structure for leave types, tax codes, and deductions, which don’t always match directly with Sage setups.
We regularly see companies run into trouble when attempting this part alone. Historical balances don’t align, or employee tax data is incomplete, making it difficult to reconcile year-end reporting.
At Cloud Accounting, we manage the payroll transition as part of your Sage Intacct to Xero migration. We begin by extracting employee records, pay items, and balances, then configure Xero’s payroll module to match your company’s pay schedules, pension schemes, and reporting needs.
We also migrate year-to-date figures so your payroll reports remain accurate throughout the tax year. If you use outsourced or global payroll tools, we can connect them to Xero through trusted integrations.
Your team depends on being paid correctly and on time. Let us handle the complex details, so your Sage Intacct to Xero migration includes a fully functional, accurate payroll setup from day one.
Challenge 7: Integration with Apps and Add-ons
One of the major strengths of both Sage Intacct and Xero is their ability to integrate with external apps. But during a Sage Intacct to Xero migration, businesses often underestimate the complexity of rebuilding these connections on a new platform.
Sage Intacct typically integrates with ERPs, CRMs, payroll systems, or reporting tools via API or custom connectors. When you migrate from Sage Intacct, many of those integrations don’t have direct equivalents in Xero. Others may require reconfiguration or complete replacement using Xero-compatible apps.
This step is critical if your business depends on apps like Expensify, Stripe, Shopify, Salesforce, or inventory tools. Simply recreating invoices and balances isn’t enough—your workflows must also continue to run smoothly after the Sage Intacct to Xero migration.
At Cloud Accounting, we handle app integration as part of the migration scope. We first audit your current software stack and identify which tools have native Xero integrations, which need middleware, and which can be replaced by more suitable options.
We then set up or reconfigure these integrations, ensuring accurate data flow between systems. Our goal is to help you move to Xero without losing automation, syncing, or real-time visibility.
We also provide post-migration support to help your team test and optimise integrations reducing disruption and increasing long-term efficiency.
If you rely on connected tools, don’t leave integrations as an afterthought. Your Sage Intacct to Xero migration should include full app and add-on continuity and we make sure it does.
Challenge 8: Tax Configuration (VAT, MTD, etc.)
Tax compliance is a critical part of your financial system and a common sticking point during Sage Intacct to Xero migration. Both platforms offer tax reporting capabilities, but the way they handle VAT, MTD (Making Tax Digital), and global tax settings differs significantly.
When businesses migrate from Sage Intacct, they often discover that tax codes, return periods, and reporting structures don’t align with how Xero expects them to be configured. This can lead to issues like missing VAT returns, inaccurate totals, or non-compliance with local tax laws.
In particular, UK businesses face problems if their Group VAT setup isn’t re-established correctly in Xero. And international businesses with overseas entities often need tailored tax configurations for each jurisdiction they operate in.
At Cloud Accounting, we ensure your tax environment is properly set up as part of every Sage Intacct to Xero migration. We migrate your historical VAT data, recreate tax rates, and configure MTD filing (where applicable) in Xero. If you operate across multiple regions, we help implement appropriate third-party tools to manage international compliance.
We also run a post-migration VAT reconciliation to confirm that figures in Xero match what was reported in Sage Intacct. This extra layer of accuracy gives you peace of mind and keeps you audit-ready.
Tax is too important to overlook. With our expert support, your Sage Intacct to Xero migration includes full tax configuration tailored to your business and its compliance obligations.
Challenge 9: User Onboarding and Xero Training
Even the most technically perfect Sage Intacct to Xero migration can fall short if your team isn’t ready to use the new system. Xero’s interface is intuitive, but that doesn’t mean everyone will feel confident from day one—especially if they’re used to Sage Intacct’s ERP-style layout and deeper feature sets.
This challenge is especially common in larger teams or finance departments with customised workflows. When companies migrate from Sage Intacct, staff often have questions about where to find reports, how to process journals, or how Xero handles approvals and reconciliations.
Without proper training, mistakes can creep in—undermining the benefits of the migration and causing frustration.
At Cloud Accounting, we include hands-on training as part of every Sage Intacct to Xero migration project. We offer live sessions tailored to your team’s roles—whether they’re bookkeepers, finance managers, or C-level executives. Each session is interactive and focused on how to use Xero efficiently based on your business model.
We also provide 30 days of post-migration support, so your team can ask questions as they start working in Xero. Whether it’s how to process payroll, run VAT returns, or configure Xero tracking categories, we’re here to help.
Transitioning to new software is about people as much as it is about data. That’s why our Sage Intacct to Xero migration service goes beyond the technical work ensuring your team is ready, trained, and confident to move forward.
Challenge 10: Rebuilding Financial Reports in Xero
One of the last but most underestimated hurdles in a Sage Intacct to Xero migration is reporting. Sage Intacct allows for highly customisable, multi-dimensional reports with filters for departments, projects, currencies, and more. Xero’s reporting is clean and effective but different.
When you migrate from Sage Intacct, your previous reporting templates won’t carry over automatically. Instead, you’ll need to rebuild management reports, cash flow summaries, and board packs using Xero’s built-in tools or custom reports with add-ons like Syft, Fathom, or Spotlight.
Businesses often assume that once the data is in, the reporting will just work but it rarely does. You may need to rethink how you present information, especially if you’ve relied heavily on Sage Intacct’s granular filters or dimensions.
At Cloud Accounting, we include report reconstruction in our Sage Intacct to Xero migration process. We’ll work with your finance team to identify key reports, replicate their logic, and build them out using the right combination of Xero’s native features and third-party tools. Where possible, we also simplify reporting structures to make them easier to maintain going forward.
We can also set up consolidated financial reporting if you manage multiple entities or international operations—so your leadership team gets accurate data in one view.
Switching systems shouldn’t mean sacrificing insight. With expert planning, your move to Xero gives you reporting that’s not only accurate but actionable.
Confidently Migrate from Sage Intacct to Xero with Expert Help
Migrating from one accounting system to another is rarely simple especially when the platforms are as different as Sage Intacct and Xero. But with the right planning and expert guidance, your Sage Intacct to Xero migration can be smooth, accurate, and transformative.
Whether you’re dealing with multi-entity setups, complex tax configurations, or mission-critical integrations, each step of your move to Xero needs technical precision and a deep understanding of both platforms.
At Cloud Accounting, we’ve helped growing businesses across industries successfully migrate from Sage Intacct with zero disruption and full financial continuity. Our approach goes beyond data conversion we help you design your ideal setup in Xero, reconfigure reporting, migrate historic financial data, and train your team to feel confident from day one.
We’re not just Xero specialists—we’re migration experts who understand the nuances of Sage Intacct’s architecture, multi-currency setups, tracking categories, and compliance needs. From the initial scoping call to post-migration support, you’ll have a dedicated partner every step of the way.
Ready to Migrate with Confidence?
Get expert support for your Sage Intacct to Xero migration today.
- Book a Free Discovery Call with our migration team to discuss your system, timelines, and goals
- Or Get a Personalised Quote to see what it will take to move your business forward with Xero
Let Cloud Accounting help you simplify your systems and scale your business with Xero done right, the first time.
