Contents

  1. Overview

  2. Create List of Business Accounts

  3. Create List of Personal Accounts That Contain Business Transactions

  4. Connect Accounts

  5. Send us PDF Bank Statements for Connected Business Account

Overview

Please follow these steps before your Zoom Call with your Onboarding Accountant. This allows us to hit the ground running with insights and guidance. Once the accounts are connected, please don't categorize any of the transactions. Your Onboarding Accountant will do that for you during the call, and the Accounting Team will do that for you every month thereafter!


Create List of Business Accounts

  1. Defintion of Business Checking, Savings, and Credit Accounts - usually contain only transactions related to your business. These accounts will remain permanently connected to the accounting software. As long as you run all your S Corp's income and expense transactions through these connected business accounts, we will able to handle monthly bookkeeping for you! This video explains in more detail.

  2. The business accounts stay connected to the accounting software. Please upload PDF bank statements for these business accounts to the document upload button found at app.collective.com > login > Documents (on the left side menu) > Upload Documents red button (over to the middle of the page). Even if you weren't able to connect your business bank account to Xero, we still really want these PDF Bank Statements. You can ignore this step if your account is so new that you don't have a pdf statement yet. Click here for more detailed instructions.

  3. Start now with running all your business income and expense activity through the business accounts. If you haven't already, make it a top priority to update your customers and vendors with your business checking and credit account details. Make a note of recurring business transactions found in personal accounts and start transitioning them to Business Checking and Credit Card accounts.


Create List of Personal Accounts That Contain Business Transactions

  1. Defintion of Personal Checking, Savings, and Credit Accounts - may contain a mix of business and personal transactions. Starting NOW, stop using them for business. We will disconnect it once all the business transactions are extracted. If your personal account does not contain any business transactions, you don't need to connect it. This video explains in more detail.

  2. The personal accounts are only temporarily connected to import business transactions. We will ignore personal transactions. Your Onboarding Accountant will disconnect these accounts before the end of the call. We do not need PDF bank statements uploaded for these personal accounts. If you have 3 or fewer business transactions in personal accounts, you don't have to connect the account. During your call, the onboarding accountant will assist with getting these expenses entered.

  3. If you aren't able to connect your personal accounts, we can also accept CSVs from your bank. Click here for more instructions.


Connect Accounts To Xero

If you like New Zealand/Australian accents, watch this video that recaps the instructions below.

  1. For the steps below, you'll have to pick a date to import transactions from. Use the first of the month of the Box E Date on Form 2553. If your Box E date is earlier than this year, then put January 1 of this year as your import as of date. Form 2553 is in the Documents sections of your Collective Dashboard. Email us at [email protected] if you need help finding this form or date.

  2. Log into the Xero account we set you up with.

  3. Along the top horizontal blue menu bar click Accounting > Bank Accounts

  4. Click "Add Bank Account"

  5. Select from popular banks, or start typing your bank’s name, then select from the list. If your bank isn't listed, you'll need to open accounts with a bank that is listed in order to continue working with Collective. Please email [email protected] for more help.

  6. You’ll be taken to your bank to log in, enter your online banking credentials and any multi-factor authentication required.

  7. Select the accounts you want to share with Xero and complete the sharing steps before you are redirected back to Xero.

  8. Check that the right bank accounts have been selected. Choose a different bank account if necessary, or add a new account.

  9. Confirm the date you’d like your transactions to start from. Use the first of the month of the Box E Date on Form 2553. If your Box E date is earlier than this year, then put January 1 of this year as your "importing transaction from" date. Usually you can import up to 12 months worth of transactions. If it is less than that, but you need it to go farther, choose as far back as it goes and your Onboarding Accountant will help you during the Zoom cal to get the earlier transactions directly from your bank and upload them to Xero.

  10. Click Finish.


Send us PDF Bank Statements for Connected Business Account

This is a REALLY important step that helps your Onboarding Accountant verify all the transactions got loaded in correctly.

  1. Download each month's PDF Bank Statement for each Business Account that you connected to Xero. If you connected one business checking account and one business credit card account, and they each have 5 months of activity, then you need to download 10 PDF Bank Statements. Even if Xero's connection only went back three months, we still want all 5 months worth of PDF Bank Statements.

  2. You need to log into your bank account website (not on Xero), find the statements section (not the activity section), and download PDFs of the statements.

  3. Upload the PDF Bank Statements to us using the Upload Documents button on your Collective Dashboard at app.collective.com. Go to app.collective.com > login > Documents (on the left side menu) > Upload Documents red button (over to the middle of the page). Note: After you upload the documents, the module will present green circles to verify that the uploads went through, but you won't be able to see the files again. They come to a secure folder on our end that we don't mirror to your Documents section.

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