Recommended Practices, Tips, and Steps to Complete an Accounting Migration

Getting Started
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Here you’ll find Recommended practices, tips, and steps to complete this process successfully

Are you Ready?

Make sure the following are completed before attempting an accounting migration:

  1. Chart of Accounts, Items, Customers, Vendors Imported and Confirmed
  2. Sales Tax Agencies & Classes created
  3. Serial and Lot Numbers discussed and implemented at the Item Level.

Communication Tools

Migrating accounting is a big move for a company to undertake and some contacts might be nervous as the day approaches. The best thing we can do for our customers is to make sure they know what to expect and how they can reach us on migration day. Using the Migration Day Schedule will help provide your customer an outline of the day’s events and help them feel more at ease. Things to do with this:

  1. Create a copy
  2. Change highlighted info with accurate information
  3. Make sure anyone with the link can view the sheet
  4. Share with your contact(s)

What is Needed?

Reports needed from the system admin to successfully migrate accounting. The following reports should be pulled from their current system on the go-live date and dated as of that day.

  • Balance Sheet
  • Sales Tax Payable Report
  • Inventory Valuation Report (if they’re migrating inventory)
  • AR Aging Report: List of Open AR
  • AP Aging Report: List of Open AP

Vetting Process

Ensure the following points are true and if they are false follow the corresponding answer:

Q: Is the Balance Sheet in balance? (Does the Total Assets = Total Liabilities & Equities)
A: Cannot move forward with the migration. Send back for another export.
Q: Does the AR Aging total match the AR total on the Balance Sheet?
A: Cannot move forward with the report. Send back for another export.
Q: Does the AP Aging total match the AP total on the Balance Sheet?
A: Cannot move forward with the report. Send back for another export.
Q: Are there any negative quantities or values on the Inventory Valuation?
A: Negatives cannot be brought in. Send exceptions to customer
Q: Does the Tax Payable total match the Tax Payable total on the Balance Sheet?
A: Ask if their CPA can verify that the difference is made of Journal Entries

Formatting Tips

Once you have verified that all the received reports show accurate totals and line up formatting your first report for import should be your next step. When formatting your spreadsheet it is recommended to use one spreadsheet the whole time. Recommended practice is broken out below using the AR Aging Detail as an example:

  1. Open up the received AR Aging Detail in a spreadsheet using Google Sheets
  2. Add a filter for the entire sheet
  3. Filter for “Transaction Type” and count how many types there are (Invoices, Memos, Payments, etc.)
  4. Duplicate the worksheet for as many transaction types exist on the report
  5. Rename each sheet a as a transaction type
  6. Each sheet will be used as your import file for that transaction type
  7. This will also maintain the original report so that everything is housed in one easy to find spot.

Steps to Take for a Successful Migration

Accounts Receivable

Once you receive the AR Aging Detail from your contact it is important to verify the total matches what is represented for the Accounts Receivable Account(s) on the received balance sheet. You may see a few different transaction types included on this report and each is handled differently. Review the following sections to see how each transaction type should be migrated into Striven along with some helpful tips.

Bring Open Invoices into Striven (Invoice Import)
  1. In Striven under Accounting click “Transactions”.
  2. Once on the Transactions List click Import and choose Invoices from the drop down.
  3. Download a sample import spreadsheet
  4. Copy and paste the appropriate columns from the AR Aging Report into the sample spreadsheet
  5. Make sure each column has the correct corresponding data underneath (Click here to view a sample import and the corresponding fields)
  6. Some columns will need certain information to properly reference the migration.
    a. Unit Price = Invoice Total
    b. Quantity = 1
    c. Item Name = Opening Balance Equity Item
    d. Memo: Accounting Migration
  7. Once the import file is properly formatted highlight the Unit Price column and make sure the balance equals the AR balance on the balance sheet
  8. Once confirming the balance is correct Import the Invoices into Striven by uploading the spreadsheet into the Import Field
  9. Once imported open up the Chart of Accounts to make sure the Account Receivable total matches the number on their balance sheet
Bring Open Payments into Striven (Journal Entry)

If the received AR Aging contains open payments these should be brought in using a journal entry import rather than a payment import. If these are brought in using a payment import each payment will be posted to Undeposited Funds, which is incorrect as most of these payments will have been deposited previously. Importing these as journal entries will bypass that undeposited funds workflow and account, while crediting AR successfully.

  1. Open the list of open payments in a spreadsheet and duplicate the tab into another worksheet to maintain the original
  2. Insert a column titled “Credit” and rename the Amount or Price column as “Debit”.
  3. Copy the data in columns listed like Date, Transaction Number, and Price and paste the information below all the existing data.
  4. Cut the second half of amounts in the Debit column and paste them into the Credit column
  5. Insert another column titled “GL Account”. In the top half insert the AR Account name and in the bottom half insert the Opening Balance Equity Account name.
  6. Highlight the Debit column and then the Credit column to make sure both equal the same total.
  7. Save as a csv.
  8. In Striven under Accounting click Journal Entries.
  9. Click the Import button
  10. Click “Select” and choose your csv file.
  11. Map the columns appropriately and click “Next”
  12. Once the success screen appears click “Finish”
  13. An email will be received once the journal entries have been imported successfully
Bring Open Credit Memos into Striven

If there are Credit Memos on the received AR Aging Detail you will have two choices available to migrate the transactions accordingly. This is because (at the time of writing this) there is no import function for credit memos. Your choices are listed below along with things to consider before proceeding and should be used at your discretion.

  1. Enter each credit memo manually
    a. Ideal if there are not many credit memos on the AR Aging Detail (1-30)
    - You can ask a teammate to help you input these as an option to save time
    b.TIP: If there are more than 50 we should proceed with option 2

  2. Import them in as journal entries
    a. This method should be reviewed and approved by the contact before proceeding
    -Follow the same steps listed in the Open Payments section above to successfully migrate the credit memos as journal entries.

Accounts Payable

Once you receive the AP Aging Detail from your contact it is important to verify the total matches what is represented for the Accounts Payable Account(s) on the received balance sheet. You may see a few different transaction types included on this report and each is handled differently. Review the following sections to see how each transaction type should be migrated into Striven along with some helpful tips.

Bring Open Bills into Striven (Bill Import)
  1. Open the AP Aging Report received from the contact/admin which lists open bills as of the cutover date and ensure all the dates are before the current date
  2. In Striven under Accounting click “Transactions”. Once on the Transactions List click Import and choose Bills from the drop down. Download a sample import spreadsheet.
  3. Copy and paste the Open bills from their AP Aging Report into the sample spreadsheet
  4. Makes sure each column has the correct corresponding data underneath (Click here to view a sample import and the corresponding fields)
  5. Some columns will need certain information to properly reference the migration.
    a. Unit Price=Bill Total
    b. Quantity=1
    c. Item Name=Opening Balance Equity Item
  6. Once the import file is properly formatted highlight the Unit Price column and make sure the balance equals the AP balance on the balance sheet
  7. Once confirming the balance is correct Import the Invoices into Striven by uploading the spreadsheet into the Import Field
Bring Open Bill Payments into Striven (Journal Entry)

If the received AP Aging contains open bill payments these should be brought in using a journal entry import rather than a bill payment import. Since these are open bill payments the import for this transaction type cannot be used as it would require a related bill to close both transactions out. Importing these as journal entries will bypass that workflow, while crediting AR successfully.

  1. Open the list of open bill payments in a spreadsheet and duplicate the tab into another worksheet to maintain the original
  2. Insert a column titled “Credit” and rename the Amount or Price column as “Debit”.
  3. Copy the data in columns listed like Date, Transaction Number, and Price and paste the information below all the existing data.
  4. Cut the second half of amounts in the Debit column and paste them into the Credit column
  5. Insert another column titled “GL Account”. In the top half insert the AP Account name and in the bottom half insert the Opening Balance Equity Account name.
  6. Highlight the Debit column and then the Credit column to make sure both equal the same total.
  7. Save as a csv.
  8. In Striven under Accounting click Journal Entries.
  9. Click the Import button
  10. Click “Select” and choose your csv file.
  11. Map the columns appropriately and click “Next”
  12. Once the success screen appears click “Finish”
  13. An email will be received once the journal entries have been imported successfully
Bring Open Bill Credits into Striven (Bill Credit Import)
  1. Open the AP Aging Report received from the contact/admin which lists open bills as of the cutover date and ensure all the dates are before the current date
  2. Duplicate the tab into another worksheet to maintain the original
  3. In Striven under Accounting click “Transactions”. Once on the Transactions List click Import and choose Bills from the drop down. Download a sample import spreadsheet.
  4. Copy and paste the Open bills from their AP Aging Report into the sample spreadsheet
  5. Makes sure each column has the correct corresponding data underneath (Click here to view a sample import and the corresponding fields)
  6. Some columns will need certain information to properly reference the migration.
  • Unit Price=Bill Total
  • Quantity=1
  • Item Name=Opening Balance Equity Item
  1. Once the import file is properly formatted highlight the Unit Price column and make sure the balance equals the AP balance on the balance sheet
  2. Once confirming the balance is correct Import the Invoices into Striven by uploading the spreadsheet into the Import Field

Sales Tax

Bring Open Sales Tax Payables into Striven
  1. Reference the Sales Tax Payable Report received from the contact/admin
  2. Click Accounting followed by “Adjust” under Sales Tax which will trigger a popup screen
    a. Click here for a guide on filling out Sales Tax Adjustments
  3. Choose the correct Sales Tax Agency (Make sure these are setup in Striven first)
  4. Choose the proper Sales Tax to effect and choose the cutover date for Transaction Date
  5. Choose the proper account you’re referencing here for sales tax
  6. Type the amount and whether it’s positive or negative
  7. REPEAT for all sales taxes until amount(s) equals the balance(s)

Inventory

Bring over Inventory into Striven (if any)
  1. Reference the Inventory Valuation Report received from the contact/admin and duplicate the tab into another worksheet to maintain the original
  2. Click here to view a sample inventory adjustment import and the corresponding fields
  3. Highlight the Value total on the Valuation report to ensure the total value matches that of the Inventory Account balance on the balance sheet
  4. Review the Quantity column to check item quantities
  5. Remove any items with zero or negative quantities as these cannot be brought into Striven
  6. Review the Unit Value or Avg. Cost column to check item values
  7. Remove any items with zero or negative values as these cannot be brought into Striven
    a. TIP: Accounts such as Inventory Asset Accounts, Sales Tax Payable accounts may vary in name, so it’s good to verify with the contact/admin which accounts are which.
  8. The Inventory Adjustment Import function only takes 500 lines or less, so it’s important to parse out your import file to meet that requirement.
    a. TIP: It is recommended that each import file is in the 490 range.
  9. Rename all column headers to be exact according to the sample if not using a sample csv downloaded from the import page
    a. Must be in ALL CAPS with same spelling
  10. Click Accounting, followed by Adjustments from the drop down
  11. Click “Add” to add a new adjustment
    a. Change the Type to Quantity and Value
    b. Change the Adjustment Date to the cutover date
    c. Click “Import Adjustments” and select your file to upload
  12. Once the adjustment looks good import the inventory adjustment into Striven
    a.TIP: If quantities don’t make sense refer to the admin/contact to validate inventory numbers. Don’t be afraid to send it back in order to verify/correct data

Remaining Account Balances

When bringing in the balances from the received balance sheet it is important to separate those accounts whose balances have already been migrated. Highlighting these accounts and their balances is one way to do this. These accounts include the following:

a. Taxes Payable Accounts, Inventory Asset Accounts, Accounts Payable Accounts, Accounts Receivable Accounts

There are two ways to bring these account balances into Striven, which are both done via journal entry. These entries can either be done manually inside the system or imported using a csv file. The steps to complete both options can be found below:

Import Journal Entries
  1. Open the list balance sheet in a spreadsheet and duplicate the tab into another worksheet.
  2. Insert a column titled “Credit” and rename the Amount column as “Debit”.
  3. Cut the second half of amounts in the Debit column and paste them into the Credit column
  4. Insert another column titled “GL Account”. In the top half insert the AP Account name and in the bottom half insert the Opening Balance Equity Account name.
  5. Highlight the Debit column and then the Credit column to make sure both equal the same total.
  6. Save as a CSV file.
  7. In Striven under Accounting click Journal Entries.
  8. Click the Import button.
  9. Click “Select” and choose your CSV file.
  10. Map the columns appropriately and click “Next”.
  11. Once the success screen appears click “Finish”.
  12. An email will be received once the journal entries have been imported successfully.
  13. On the spreadsheet fill in columns with corresponding information (Account Name MUST MATCH the names in Striven).
    a. Click here to view a sample invoice import and the corresponding fields
  14. Apply total of each account to either debit or credit according to what type of account it is and if it’s a negative or positive balance.
    a. Click here for a reference of each type of account debit/credit application.
  15. Put the cutover date in the Date column.
  16. If Journal Entry is off balance add another item called “Opening Balance Equity” and add the balance to either the debit or credit to balance out the entry.
    a. TIP: Your customer’s Opening Balance Equity Account may vary in name.
  17. Import the journal entry into Striven.
Manually Entering a Journal Entry
  1. On the Journal Entries screen click “Add Journal Entry”
  2. For Transaction Date put the cutover date to properly impact migration
  3. Select accounts from drop downs
    a. Put each account’s balance toward either Debit or Credit depending on what type of account it is and if it’s a negative or positive balance
    b. Click here for a reference of each type of account debit/credit application
  4. If Journal Entry is off balance add another item called “Opening Balance Equity” and add the balance to either the debit or credit to balance out the entry.
    a. TIP: Your customer’s Opening Balance Equity Account may vary in name.
  5. Run the Balance Sheet report to ensure balances in Striven match the received balance sheet.

Inputting Retained Earnings and Net Income

Bringing over your Retained Earnings

In Striven Retained Earnings is a calculated total that derives from your Profit and Loss report totals from your previous fiscal year. To have the total appear on your balance sheet in this calculated field it is recommended that a journal entry be created. This journal entry should be dated for the last day of your previous fiscal year, for instance 12/31/2020. To achieve this use the steps listed below:

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Example of creating a Retained Earnings Journal Entry

  1. Click the Accounting tab.
  2. Select Journal Entries from the drop down menu.
  3. Click “Add Journal Entry” button.
  4. Change the date to the last date of your prior fiscal year.
  5. In the GL Account selection box choose an Income account.
  6. Input the amount designated as “Net Income” into the Credit field.
  7. In the following GL Account selection box choose the “Opening Balance Equity” account.
  8. Input the same amount into the Debit field.
  9. Click Save & Close to create the journal entry.

Bringing over your Net Income

In Striven Net Income is a calculated total that derives from your Profit and Loss report totals. To have the total appear on your balance sheet in this calculated field it is recommended that a journal entry be created. This journal entry should be dated for the last day of the month prior to your cutover date. To achieve this use the steps listed below:

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Example of creating a Net Income Journal Entry

  1. Click the Accounting tab.
  2. Select Journal Entries from the drop down menu.
  3. Click “Add Journal Entry” button.
  4. Change the date to a month prior to the cutover date.
  5. In the GL Account selection box choose an income account.
  6. Input the amount designated as “Net Income” into the Credit field.
  7. In the following GL Account selection box choose the “Opening Balance Equity” account.
  8. Input the same amount into the Debit field.
  9. Click Save & Close to create the journal entry.

Verify and Confirm Data

Once all of your data has been imported it is important to verify the balance sheet in Striven for accuracy. Verification should happen in two separate procedures and done in a specific order. The first verification should be internal, followed by external verification. Both procedures are discussed further in the sections listed below.

Internal Verification

The next step to take is to internally verify the balance sheet in Striven matches the received balance sheet. To do this ensure that the balance sheet in Striven is dated as of the cutover date and have both balance sheet versions up at the same time. This can be done either by using two monitors or by splitting the screen with two browser windows side by side. The steps listed below will fit either method used.

  1. Start with the Assets at the top and verify that individual account totals are the same.
  2. Highlight account totals on the received balance sheet in one of two colors.
    a. GREEN: Total is confirmed as accurate.
    b. RED: Total is not confirmed as accurate.
  3. Verify the entire balance sheet from top to bottom, ending with the Equity section.
  4. Investigate any totals highlighted in red and make fixes as needed.
    a. Verify once again if any fixes needed to occur.

Confirming Reports

Outside of verifying that totals are accurate another process that is important to undertake is confirming reports inside of Striven. This process is important in ensuring that financial reports being run by the customer look and operate as they should for their adoption. This is something that does not need to be done with the customer, but we should be able to confirm that things are accurate nonetheless. Reports we should confirm are listed below along with what data should be present.

  • AR Aging Report
    • Totals should all be hyperlinked and there should be no $0.00 totals present
  • AP Aging Report
    • Totals should all be hyperlinked and there should be no $0.00 totals present
  • Stock Status Report
    • Spot check items random items to make sure the quantities are accurate
  • Sales Tax Payable Report
    • Run the payable report to ensure that the right totals appear per agency
  • Trial Balance
    • Run the trial balance to make sure that the Debits and Credits are equal
  • Profit and Loss
    • Run the Profit & Loss to make sure that there are no totals outside of the Income accounts used for the Net Income and Retained Earnings journal entries.

External Verification

Once data has been internally verified, corrected, and reports have been confirmed you are ready to verify the balance sheet with the customer. It is very important that this step be done using a screen share and that their CPA is included if the customer requests. This step will mimic the internal verification, but the contact should be able to see both reports at the same time, so splitting a screen is the best course of action. The goal of this step is to make sure that the contact sees that information is matching and that they understand why something may not. Tips and recommended practices can be found below.

  • Split the screen so that the contact(s) can see both balance sheets together.
  • Run the Balance Sheet in Striven as of the cutover date (shown on the received sheet).
  • Record the session prior to beginning the verification.
  • Share your screen with the contact and confirm that they can see the two reports.
  • Verbally go through each total so that they can see and hear each total is accurate.
  • Verbalize anything not matching.
    • For instance: Inventory is high because of the negatives we could not import.
  • Confirm the totals and answer any questions they may have.

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Example of the Balance Sheet verification process

Closing the Migration

After the balance sheet has been verified and confirmed with the contact(s) it is important to close the books to protect all of the data migrated. We should do this while on the call with the customer so that they can see us close the books and have it on recording. To close the books use the following steps listed below:

  1. Company - Settings - Accounting - Settings.
  2. Type in or choose the cutover date using the calendar icon.
    a. This will protect everything brought over into Striven and start them off with a balanced system
  3. It is important to keep in mind if your contact/admin is within the system with Full Access there is a permission that will allow them to override the closing date
    a. Please advise your contact of this so they’re aware of this permission

Once the books have closed make sure the recording is stopped and is sent to the contact(s) once it is fully processed.

Migration has now been verified and closed. No more work needs to be completed. Congratulations!