One way to convert from your existing accounting software package to Bizuno is called the ‘Line in the Sand’ approach. This article describes the process that needs to be followed to implement this approach. This method is best used at end of fiscal year. The basic process is:
- Verify your chart of accounts in Bizuno matches that from your current application.
- Import contacts (Tools -> Import/Export -> Contact Tab). This should be completed well before the conversion day. A template is available on the Contacts import tab to help format the input data and includes field names and descriptions.
- Import Inventory (Tools -> Import/Export -> Inventory Tab). This should also be completed well before the conversion day. A template is available on the Inventory import tab to help format the input data.
- Build Inventory, Accounts Payable and Accounts Receivable files (see examples below). These files are minimized so they may be generated by hand quickly (if necessary) are output directly from your current application.
- Print trial balance from your current application to a PDF file or paper for use old guys.
- Backup Bizuno (Tools -> Business Backup -> Business Backup section -> Go icon), just in case. This is just for precaution as your new values will have precedent.
- Purge the general ledger (Settings -> PhreeBooks -> Tools -> Purge Journal Entries).
- Enter Beginning Balances using the data from your Trial Balance printed from above. Save. This will take a while as the information needs to roll through each gl account for all months in your fiscal calendar.
- Print Trial Balance in Bizuno (Tools -> Reports/Forms -> General Ledger -> Reports -> GL Trial Balance -> Open (get a popup) -> PDF icon). At this point your balance sheet and income statement will not match that form your prior application. This is because these entries are BEFORE the current fiscal year. All accounts that are closed at the end of the fiscal year will be closed and the balances will be rolled into your retained earnings account. You will need this report for making adjustments later in this procedure.
- Import inventory valuation (Tools -> Import/Export -> PhreeBooks Tab -> Inventory, select file and press Import icon)
- Import purchase orders (Tools -> Import/Export -> PhreeBooks Tab -> Purchase Orders, select file and press Import icon)
- Import accounts payables (Tools -> Import/Export -> PhreeBooks Tab -> Accounts Payable, select file and press Import icon)
- Import sales orders (Tools -> Import/Export -> PhreeBooks Tab -> Sales Orders, select file and press Import icon)
- Import accounts receivables (Tools -> Import/Export -> PhreeBooks Tab -> Accounts Receivable, select file and press Import icon)
- Print another Trial Balance in Bizuno. This is where the paper part is best.
- Edit your beginning balances and subtract the AP total from your import file from the accounts payable account (to bring it back to your original beginning balance), subtract your AR total from your import file from your accounts receivable account, take the GL account you used as your holding account and add back the payables total and subtract the AR totals from your import file. This should restore all three accounts to the values you had BEFORE the import (step 7). Verify your inventory stock balances to make sure the import was successful.
This is a good time to check you AP/AR accounts as the value after step 8 should be equal to the total of your import for each type. If they are off (as they usually are) you will need to make a general journal entry to get them back to being even.
This process only works when converting at year end as the expenses, sales accounts are zeroed out at the start of each fiscal year. For this reason, you will see no expenses OR sales as they will be rolled into your retained earnings account. This is because beginning balances are the values ‘entering’ the fiscal year.
A mid year line in the sand conversion will require additional steps. Generally, you will need to post a GL entry restating your activity year to date that is posted to any account that is closed at year end, (sales, expenses, etc.). Create or use a holding account that you can balance against when adjusting your beginning balance to compensate for the duplicate values. After this process, your balance sheet and income statement from your prior accounting application should match exactly with the like Bizuno financial statements.
I think you should try a few dry runs before the big day. You can always purge the GL and start over. This way when the day comes, you’ll get it done in under an hour.
Sample trial_balance.txt (Needs to add to zero to be in balance or import will fail)
Sample inventory.txt file: (either ItemCost or Total may be provided, ItemCost has priority)
Sample purchase_orders.txt file:
PO345,12/12/2016,55.00,DIY Bike Co,Wheel-Black,11,55.00
Sample accounts_payables.txt file:
Sample sales_orders.txt file:
3423,12/20/2016,10.00,110.00,Jim Taylor,Jim Taylor,Wheel-Black,2,100.00
3427,12/21/2016,25.00,275.00,Dave Jones,Dave Jones,Wheel-Black,4,200.00
3427,12/21/2016,25.00,275.00,Dave Jones,Dave Jones,Tire-Knobby,1,50.00
Sample accounts_receivables.txt file: