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Migrating Opening Balances

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Posted on by Tris15

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Hi Experts

We are migrating a client from AX to Business Central, we have the following scenario:

The Client's year-end is 30 October for AX - our Go Live date is 1 November.

We are testing various scenarios but we need to understand what the standard/best practice will be.

Is it going to be beneficial bringing in a Trial Balance in on BC as of 30 October and doing a year end procedure in BC (and why it is bettter?) OR

Is it best to close of the year In AX and basically the values we are bringing in on BC is only Balance Sheet opening balances? (and why this might be better)

We are also not bringing in any historical data

I lean towards a clean cut off and having the Closing year end balances in AX being my opening balances in BC

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Dynamics 365 Business Central

Dynamics 365 Business Central migration

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Sail.Wang 12 on at

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Option 1: Performing Year-End Closing in Business Central

Advantages:

Consistency: Performing year-end closing in Business Central ensures all financial data and reports are completed within the same system, reducing the complexity of cross-system operations.

Data Integrity: By conducting year-end closing in BC, you can ensure all carry-forwards and adjustments are correctly handled in the new system.

Simplified Future Operations: Once year-end closing is completed in BC, future financial operations and reporting will be more consistent and simplified.

Disadvantages:

Complexity: Ensuring all financial accounts and closing rules are correctly set up in BC may require additional configuration and testing.

Time Pressure: Conducting year-end closing during the initial go-live phase may increase the workload on the team.

Applicable Scenarios:

If the team is very familiar with BC's year-end closing process and has sufficient time and resources for testing and validation.

If you wish to retain a complete record of financial operations in BC.

Option 2: Closing the Year in AX and Bringing in Opening Balances of the Balance Sheet in BC

Advantages:

Simplified Migration: Only migrating the opening balances of the balance sheet reduces the complexity of data migration.

Reduced Risk of Errors: Completing year-end closing in AX, leveraging familiarity with the existing system, reduces potential errors in the new system.

Quick Go-Live: You can start the new fiscal year operations in BC more quickly without waiting for year-end closing to be completed.

Disadvantages:

Lack of Historical Data: BC will not have complete historical financial data, which may affect certain analyses and reports.

Cross-System Operations: Completing year-end closing in AX may require operations and verification in both systems.

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Gerardo Rentería Ga... 25,236 Most Valuable Professional on at

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Hi, good day
I hope this can help you, and give you some hints.

A Strategy for Opening Balances in Business Central - Dynamics 365 Business Central

opening balance

How to create an Opening Balance in the General Ledger - Dynamics 365 Business Central

Best Regards
Gerardo

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Andrés Arias 4,190 Super User 2025 Season 2 on at

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Hello,

For me, closing the year in AX and taking only the opening balances to BC would be considered best practice in most migrations.

- Clean cut between systems: AX closes the fiscal year completely, and BC starts with a new year.
- Simpler reconciliation: Only opening Balance Sheet balances are loaded.
- Reduced risk of errors: No carry forward entries from the previous fiscal year and no reliance on BC calculation.
- Clearer audit: Each system has its own complete year, without sharing responsibilities.

In conclusion, given that it reduces risks, simplifies the migration process, allows accounting traceability and audit issues, the best option would be option 2.

I hope I can help.

Regards,

Andres

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YUN ZHU 95,729 Super User 2025 Season 2 on at

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Hi, If you only need to import minimal data, try the standard template. For example,

Hope the this helps.

Thanks.

ZHU

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Sohail Ahmed 11,150 Super User 2025 Season 2 on at

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adding more details https://learn.microsoft.com/en-us/training/modules/migrate-data-dynamics-365-business-central/

✅ Mark this answer as verified if it helps you.

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