This article will give the Dealership some direction on how they need to handle the entering of their Opening Balances / Conversion Balances into their new Accounting Package (Xero / QuickBooks Online)


Just a reminder that it is the responsibility of the Dealership to enter their own Opening Balances / Conversion Balances into their new Accounting Package during activations or shortly thereafter 


If you need further instructions or assistance, we would suggest that you reach out to your accountant/bookkeeper or make use of the resources provided by QuickBooks Online / Xero:





What are Opening Balances / Conversion Balances


If you are starting Blackpurl with a new Accounting Package ie QuickBooks Online or Xero then you will need to know the closing or the last balance from your old Accounting Package


These closing or last balances will then be your Opening  Balances / Conversion Balances that will need to be entered into your new Accounting Package 


This is a very important task as you want a clear unbroken set of accounting figures from your old Accounting Package over to your new Accounting Package 



Why is entering Opening Balances / Conversion Balances the responsibility of the Dealership


Blackpurl are not accountants and we are also not QuickBooks Online or Xero support


We can show you how the accounting integration from Blackpurl works but Opening Balances / Conversion Balances is not part of the Blackpurl Integration  


We would suggest that you may need to get your accountant involved, just in case any adjustments are needed to be made etc at the time of entering your Opening Balances / Conversion Balances


For example:

  • When you give Blackpurl Activations a list of your Units Inventory or Parts Inventory and these are loaded into Blackpurl, Blackpurl Activations will give you the inventory figure from Blackpurl 


  • Ideally, this inventory figure should match to the inventory figure in your Blackpurl but if it doesn't then your accountant will need to do an adjustment entry in your Accounting Package to make sure that it does match to Blackpurl


This is further information about Unit Valuations and Part Valuations given to you by your Activation Specialist - Opening Balances | QuickBooks Online

How to start:


We would suggest that before you start to load the Opening Balances / Conversion Balances to the appropriate General Ledger account(s), you get the closing balances from your old Accounting Package


We would suggest running a full balance sheet / profit and loss statement / trial balance from your old accounting system that shows the closing balances 


We would also suggest you run a full Accounts Payable listing and a full Accounts Receivable listing from your old accounting system 


Then review the relevant resources from Xero / QuickBooks Online to get yourself familiar with what you need to do:  



There will be a couple of General Ledger Opening Balances / Conversion Balances that we would recommend that you load a little bit differently:  


Accounts receivable

  • Load the Accounts Receivable Opening Balance / Conversion Balance total into a clearing account


  • then load individual Account balances (completed and finalized invoices awaiting payment not to be confused with open jobs or orders) directly to the customer using the same clearing account GL to load the invoice


  • This process will clear the clearing account, load the outstanding amount owed by the customer and create the Accounts Receivable balance in your Accounting Package


Accounts Payable 

  • Load the Accounts Payable Opening Balance / Conversion Balance total into a clearing account 


  • then load individual Account balances (completed and finalized invoices awaiting payment not to be confused with open jobs or orders) directly to the Vendors using the same clearing account GL to load the outstanding invoice


  • This process will clear the clearing account, load the outstanding amount owed to the Vendor and create the Accounts Payable balance in your Accounting Package

Customer deposits


There are two options:


  • Option 1 - Load the deposit to the customer in your Accounting Package via Accounts Receivable Opening Balance and then then use the AR Credit Payment Method button in Blackpurl to apply the deposit to the Customer Order (CO)


This article will assist with the Blackpurl side of it - Payment Method - AR Credit (Accounts Receivable Credit in Accounting Package)


  • Option 2 - Load the deposit directly into Blackpurl on the relevant Customer Orders. You would then need to go to your Accounting Package and remove the deposit from the undeposited funds account and offset it against the GL the deposits are currently sitting in in QBO perhaps the Clearing account you are using for the Accounts Receivable


Parts Inventory

  • This amount may be the Opening Balance / Conversion Balance and would be loaded per the Opening Balance / Conversion Balance instructions


  • You will need to ensure that your Parts Inventory General Ledger Opening Balance / Conversion Balance matches the Blackpurl Parts Inventory Opening Balance supplied by your Activations Team

    If you do need to adjust the Opening Balance from or in your current Accounting Package as it does not match the Blackpurl Opening Balance, you could use the inventory adjustment account for the difference but please consult your accountant on where they would like this to go


Stock unit Inventory 

  • This amount may be the Opening Balance / Conversion Balance and would be loaded per the Opening Balance / Conversion Balances instructions


  • You will need to ensure that your Unit Inventory General Ledger Open Balances / Conversion Balances matches the Blackpurl Stock Unit Inventory Opening Balances supplied by your Activations Team


  •  If you do need to adjust the Opening Balance from or in your current Accounting Package as it does not match the Blackpurl Opening Balances, you could use the inventory adjustment account for the difference but please consult your accountant on where they would like this to go



New Dealership with no previous Accounting Package 


If you are a totally new Dealership then you will not have any Opening Balances / Conversion Balances from an old accounting system


You may have an Inventory values (as given to you by the Activation team), just journal  to one of your Equity Accounts