diff --git a/pkg/migration/filesystem.go b/pkg/migration/filesystem.go
new file mode 100644
index 00000000..9c9b68c1
--- /dev/null
+++ b/pkg/migration/filesystem.go
@@ -0,0 +1,151 @@
+package migration
+
+import (
+	"bytes"
+	"fmt"
+	"os"
+	"path/filepath"
+
+	"github.com/pkg/errors"
+	"github.com/spf13/afero"
+	"k8s.io/apimachinery/pkg/apis/meta/v1/unstructured"
+	"k8s.io/apimachinery/pkg/util/yaml"
+	sigsyaml "sigs.k8s.io/yaml"
+)
+
+// FileSystemSource is a source implementation to read resources from filesystem
+type FileSystemSource struct {
+	index int
+	items []UnstructuredWithMetadata
+	afero afero.Afero
+}
+
+// FileSystemSourceOption allows you to configure FileSystemSource
+type FileSystemSourceOption func(*FileSystemSource)
+
+// FsWithFileSystem configures the filesystem to use. Used mostly for testing.
+func FsWithFileSystem(f afero.Fs) FileSystemSourceOption {
+	return func(fs *FileSystemSource) {
+		fs.afero = afero.Afero{Fs: f}
+	}
+}
+
+// NewFileSystemSource returns a FileSystemSource
+func NewFileSystemSource(dir string, opts ...FileSystemSourceOption) (*FileSystemSource, error) {
+	fs := &FileSystemSource{
+		afero: afero.Afero{Fs: afero.NewOsFs()},
+	}
+	for _, f := range opts {
+		f(fs)
+	}
+
+	if err := filepath.Walk(dir, func(path string, info os.FileInfo, err error) error {
+		if err != nil {
+			return errors.Wrap(err, fmt.Sprintf("cannot read %s", path))
+		}
+
+		if info.IsDir() {
+			return nil
+		}
+
+		data, err := fs.afero.ReadFile(path)
+		if err != nil {
+			return errors.Wrap(err, "cannot read source file")
+		}
+
+		decoder := yaml.NewYAMLOrJSONDecoder(bytes.NewBufferString(string(data)), 1024)
+		u := &unstructured.Unstructured{}
+		if err := decoder.Decode(&u); err != nil {
+			return errors.Wrap(err, "cannot decode read data")
+		}
+
+		fs.items = append(fs.items, UnstructuredWithMetadata{
+			Object: *u,
+			Metadata: Metadata{
+				Path: path,
+			},
+		})
+
+		return nil
+	}); err != nil {
+		return nil, errors.Wrap(err, "cannot read source directory")
+	}
+
+	return fs, nil
+}
+
+// HasNext checks the next item
+func (fs *FileSystemSource) HasNext() (bool, error) {
+	return fs.index < len(fs.items), nil
+}
+
+// Next returns the next item of slice
+func (fs *FileSystemSource) Next() (UnstructuredWithMetadata, error) {
+	if hasNext, _ := fs.HasNext(); hasNext {
+		item := fs.items[fs.index]
+		fs.index++
+		return item, nil
+	}
+	return UnstructuredWithMetadata{}, errors.New("no more elements")
+}
+
+// FileSystemTarget is a target implementation to write/patch/delete resources to file system
+type FileSystemTarget struct {
+	afero afero.Afero
+}
+
+// FileSystemTargetOption allows you to configure FileSystemTarget
+type FileSystemTargetOption func(*FileSystemTarget)
+
+// FtWithFileSystem configures the filesystem to use. Used mostly for testing.
+func FtWithFileSystem(f afero.Fs) FileSystemTargetOption {
+	return func(ft *FileSystemTarget) {
+		ft.afero = afero.Afero{Fs: f}
+	}
+}
+
+// NewFileSystemTarget returns a FileSystemTarget
+func NewFileSystemTarget(opts ...FileSystemTargetOption) *FileSystemTarget {
+	ft := &FileSystemTarget{
+		afero: afero.Afero{Fs: afero.NewOsFs()},
+	}
+	for _, f := range opts {
+		f(ft)
+	}
+	return ft
+}
+
+// Put writes input to filesystem
+func (ft *FileSystemTarget) Put(o UnstructuredWithMetadata) error {
+	b, err := sigsyaml.Marshal(o.Object.Object)
+	if err != nil {
+		return errors.Wrap(err, "cannot marshal object")
+	}
+	if o.Metadata.Parents != "" {
+		f, err := ft.afero.OpenFile(o.Metadata.Path, os.O_APPEND|os.O_WRONLY|os.O_CREATE, 0600)
+		if err != nil {
+			return errors.Wrap(err, "cannot open file")
+		}
+
+		defer f.Close() //nolint:errcheck
+
+		if _, err = f.WriteString(fmt.Sprintf("\n---\n\n%s", string(b))); err != nil {
+			return errors.Wrap(err, "cannot write file")
+		}
+	} else {
+		f, err := ft.afero.Create(o.Metadata.Path)
+		if err != nil {
+			return errors.Wrap(err, "cannot create file")
+		}
+		if _, err := f.Write(b); err != nil {
+			return errors.Wrap(err, "cannot write file")
+		}
+	}
+
+	return nil
+}
+
+// Delete deletes a file from filesystem
+func (ft *FileSystemTarget) Delete(o UnstructuredWithMetadata) error {
+	return ft.afero.Remove(o.Metadata.Path)
+}
diff --git a/pkg/migration/filesystem_test.go b/pkg/migration/filesystem_test.go
new file mode 100644
index 00000000..8cf452e8
--- /dev/null
+++ b/pkg/migration/filesystem_test.go
@@ -0,0 +1,256 @@
+package migration
+
+import (
+	"fmt"
+	"testing"
+
+	"github.com/google/go-cmp/cmp"
+	"github.com/pkg/errors"
+	"github.com/spf13/afero"
+	"k8s.io/apimachinery/pkg/apis/meta/v1/unstructured"
+)
+
+var (
+	unstructuredAwsVpc = map[string]interface{}{
+		"apiVersion": "ec2.aws.crossplane.io/v1beta1",
+		"kind":       "VPC",
+		"metadata": map[string]interface{}{
+			"name": "sample-vpc",
+		},
+		"spec": map[string]interface{}{
+			"forProvider": map[string]interface{}{
+				"region":    "us-west-1",
+				"cidrBlock": "172.16.0.0/16",
+			},
+		},
+	}
+
+	unstructuredResourceGroup = map[string]interface{}{
+		"apiVersion": "azure.crossplane.io/v1beta1",
+		"kind":       "ResourceGroup",
+		"metadata": map[string]interface{}{
+			"name": "example-resources",
+		},
+		"spec": map[string]interface{}{
+			"forProvider": map[string]interface{}{
+				"location": "West Europe",
+			},
+		},
+	}
+)
+
+func TestNewFileSystemSource(t *testing.T) {
+	type args struct {
+		dir string
+		a   func() afero.Afero
+	}
+	type want struct {
+		fs  *FileSystemSource
+		err error
+	}
+
+	cases := map[string]struct {
+		args
+		want
+	}{
+		"Successful": {
+			args: args{
+				dir: "testdata",
+				a: func() afero.Afero {
+					fss := afero.Afero{Fs: afero.NewMemMapFs()}
+					_ = fss.WriteFile("testdata/source/awsvpc.yaml",
+						[]byte("apiVersion: ec2.aws.crossplane.io/v1beta1\nkind: VPC\nmetadata:\n  name: sample-vpc\nspec:\n  forProvider:\n    cidrBlock: 172.16.0.0/16\n    region: us-west-1\n"),
+						0600)
+					_ = fss.WriteFile("testdata/source/resourcegroup.yaml",
+						[]byte("apiVersion: azure.crossplane.io/v1beta1\nkind: ResourceGroup\nmetadata:\n  name: example-resources\nspec:\n  forProvider:\n    location: West Europe\n"),
+						0600)
+					return fss
+				},
+			},
+			want: want{
+				fs: &FileSystemSource{
+					index: 0,
+					items: []UnstructuredWithMetadata{
+						{
+							Object: unstructured.Unstructured{
+								Object: unstructuredAwsVpc,
+							},
+							Metadata: Metadata{
+								Path: "testdata/source/awsvpc.yaml",
+							},
+						},
+						{
+							Object: unstructured.Unstructured{
+								Object: unstructuredResourceGroup,
+							},
+							Metadata: Metadata{
+								Path: "testdata/source/resourcegroup.yaml",
+							},
+						},
+					},
+				},
+			},
+		},
+	}
+	for name, tc := range cases {
+		t.Run(name, func(t *testing.T) {
+			files := tc.args.a()
+			fs, err := NewFileSystemSource("testdata/source", FsWithFileSystem(files))
+			if err != nil {
+				t.Fatalf("Failed to initialize a new FileSystemSource: %v", err)
+			}
+			if diff := cmp.Diff(tc.want.err, err); diff != "" {
+				t.Errorf("\nNext(...): -want, +got:\n%s", diff)
+			}
+			if diff := cmp.Diff(tc.want.fs.items, fs.items); diff != "" {
+				t.Errorf("\nNext(...): -want, +got:\n%s", diff)
+			}
+		})
+	}
+}
+
+func TestFileSystemTarget_Put(t *testing.T) {
+	type args struct {
+		o UnstructuredWithMetadata
+		a func() afero.Afero
+	}
+	type want struct {
+		data string
+		err  error
+	}
+
+	cases := map[string]struct {
+		args
+		want
+	}{
+		"Write": {
+			args: args{
+				o: UnstructuredWithMetadata{
+					Object: unstructured.Unstructured{
+						Object: map[string]interface{}{
+							"apiVersion": "ec2.aws.upbound.io/v1beta1",
+							"kind":       "VPC",
+							"metadata": map[string]interface{}{
+								"name": "sample-vpc",
+							},
+							"spec": map[string]interface{}{
+								"forProvider": map[string]interface{}{
+									"region":    "us-west-1",
+									"cidrBlock": "172.16.0.0/16",
+								},
+							},
+						},
+					},
+					Metadata: Metadata{
+						Path: "testdata/source/awsvpc.yaml",
+					},
+				},
+				a: func() afero.Afero {
+					return afero.Afero{Fs: afero.NewMemMapFs()}
+				},
+			},
+			want: want{
+				data: "apiVersion: ec2.aws.upbound.io/v1beta1\nkind: VPC\nmetadata:\n  name: sample-vpc\nspec:\n  forProvider:\n    cidrBlock: 172.16.0.0/16\n    region: us-west-1\n",
+				err:  nil,
+			},
+		},
+		"Append": {
+			args: args{
+				o: UnstructuredWithMetadata{
+					Object: unstructured.Unstructured{
+						Object: map[string]interface{}{
+							"apiVersion": "azure.crossplane.io/v1beta1",
+							"kind":       "ResourceGroup",
+							"metadata": map[string]interface{}{
+								"name": "example-resources",
+							},
+							"spec": map[string]interface{}{
+								"forProvider": map[string]interface{}{
+									"location": "West Europe",
+								},
+							},
+						},
+					},
+					Metadata: Metadata{
+						Path:    "testdata/source/awsvpc.yaml",
+						Parents: "parent metadata",
+					},
+				},
+				a: func() afero.Afero {
+					fss := afero.Afero{Fs: afero.NewMemMapFs()}
+					_ = fss.WriteFile("testdata/source/awsvpc.yaml",
+						[]byte("apiVersion: ec2.aws.upbound.io/v1beta1\nkind: VPC\nmetadata:\n  name: sample-vpc\nspec:\n  forProvider:\n    cidrBlock: 172.16.0.0/16\n    region: us-west-1\n"),
+						0600)
+					return fss
+				},
+			},
+			want: want{
+				data: "apiVersion: ec2.aws.upbound.io/v1beta1\nkind: VPC\nmetadata:\n  name: sample-vpc\nspec:\n  forProvider:\n    cidrBlock: 172.16.0.0/16\n    region: us-west-1\n\n---\n\napiVersion: azure.crossplane.io/v1beta1\nkind: ResourceGroup\nmetadata:\n  name: example-resources\nspec:\n  forProvider:\n    location: West Europe\n",
+				err:  nil,
+			},
+		},
+	}
+	for name, tc := range cases {
+		t.Run(name, func(t *testing.T) {
+			files := tc.args.a()
+			ft := NewFileSystemTarget(FtWithFileSystem(files))
+			if err := ft.Put(tc.args.o); err != nil {
+				t.Error(err)
+			}
+			b, err := ft.afero.ReadFile("testdata/source/awsvpc.yaml")
+			if diff := cmp.Diff(tc.want.err, err); diff != "" {
+				t.Errorf("\nNext(...): -want, +got:\n%s", diff)
+			}
+			if diff := cmp.Diff(tc.want.data, string(b)); diff != "" {
+				t.Errorf("\nNext(...): -want, +got:\n%s", diff)
+			}
+		})
+	}
+}
+
+func TestFileSystemTarget_Delete(t *testing.T) {
+	type args struct {
+		o UnstructuredWithMetadata
+		a func() afero.Afero
+	}
+	type want struct {
+		err error
+	}
+	cases := map[string]struct {
+		args
+		want
+	}{
+		"Successful": {
+			args: args{
+				o: UnstructuredWithMetadata{
+					Metadata: Metadata{
+						Path: "testdata/source/awsvpc.yaml",
+					},
+				},
+				a: func() afero.Afero {
+					fss := afero.Afero{Fs: afero.NewMemMapFs()}
+					_ = fss.WriteFile("testdata/source/awsvpc.yaml",
+						[]byte("apiVersion: ec2.aws.upbound.io/v1beta1\nkind: VPC\nmetadata:\n  name: sample-vpc\nspec:\n  forProvider:\n    cidrBlock: 172.16.0.0/16\n    region: us-west-1\n"),
+						0600)
+					return fss
+				},
+			},
+			want: want{
+				err: errors.New(fmt.Sprintf("%s: %s", "open testdata/source/awsvpc.yaml", afero.ErrFileNotFound)),
+			},
+		},
+	}
+	for name, tc := range cases {
+		t.Run(name, func(t *testing.T) {
+			files := tc.args.a()
+			ft := NewFileSystemTarget(FtWithFileSystem(files))
+			if err := ft.Delete(tc.args.o); err != nil {
+				t.Error(err)
+			}
+			_, err := ft.afero.ReadFile("testdata/source/awsvpc.yaml")
+			if diff := cmp.Diff(tc.want.err.Error(), err.Error()); diff != "" {
+				t.Errorf("\nNext(...): -want, +got:\n%s", diff)
+			}
+		})
+	}
+}
diff --git a/pkg/migration/kubernetes.go b/pkg/migration/kubernetes.go
new file mode 100644
index 00000000..1f973d61
--- /dev/null
+++ b/pkg/migration/kubernetes.go
@@ -0,0 +1,84 @@
+package migration
+
+import (
+	"context"
+	"strings"
+
+	"github.com/pkg/errors"
+	metav1 "k8s.io/apimachinery/pkg/apis/meta/v1"
+	"k8s.io/apimachinery/pkg/runtime/schema"
+	"k8s.io/client-go/dynamic"
+	"k8s.io/client-go/tools/clientcmd"
+)
+
+// KubernetesSource is a source implementation to read resources from Kubernetes
+// cluster.
+type KubernetesSource struct {
+	index         int
+	items         []UnstructuredWithMetadata
+	dynamicClient dynamic.Interface
+}
+
+// NewKubernetesSource returns a KubernetesSource
+// DynamicClient is used here to query resources.
+// Elements of gvks (slice of GroupVersionKind) are passed to the Dynamic Client
+// in a loop to get list of resources.
+// An example element of gvks slice:
+// Group:   "ec2.aws.upbound.io",
+// Version: "v1beta1",
+// Kind:    "VPC",
+func NewKubernetesSource(dynamicClient dynamic.Interface, gvks []schema.GroupVersionKind) (*KubernetesSource, error) {
+	ks := &KubernetesSource{
+		dynamicClient: dynamicClient,
+	}
+	for _, gvk := range gvks {
+		ri := dynamicClient.Resource(
+			schema.GroupVersionResource{
+				Group:   gvk.Group,
+				Version: gvk.Version,
+				// we need to add plural appendix to end of kind name
+				Resource: strings.ToLower(gvk.Kind) + "s",
+			})
+		unstructuredList, err := ri.List(context.TODO(), metav1.ListOptions{})
+		if err != nil {
+			return nil, errors.Wrap(err, "cannot list resources")
+		}
+		for _, u := range unstructuredList.Items {
+			ks.items = append(ks.items, UnstructuredWithMetadata{
+				Object: u,
+				Metadata: Metadata{
+					Path: string(u.GetUID()),
+				},
+			})
+		}
+	}
+	return ks, nil
+}
+
+// HasNext checks the next item
+func (ks *KubernetesSource) HasNext() (bool, error) {
+	return ks.index < len(ks.items), nil
+}
+
+// Next returns the next item of slice
+func (ks *KubernetesSource) Next() (UnstructuredWithMetadata, error) {
+	if hasNext, _ := ks.HasNext(); hasNext {
+		item := ks.items[ks.index]
+		ks.index++
+		return item, nil
+	}
+	return UnstructuredWithMetadata{}, errors.New("no more elements")
+}
+
+// InitializeDynamicClient returns a dynamic client
+func InitializeDynamicClient(kubeconfigPath string) (dynamic.Interface, error) {
+	config, err := clientcmd.BuildConfigFromFlags("", kubeconfigPath)
+	if err != nil {
+		return nil, errors.Wrap(err, "cannot create rest config object")
+	}
+	dynamicClient, err := dynamic.NewForConfig(config)
+	if err != nil {
+		return nil, errors.Wrap(err, "cannot initialize dynamic client")
+	}
+	return dynamicClient, nil
+}
diff --git a/pkg/migration/kubernetes_test.go b/pkg/migration/kubernetes_test.go
new file mode 100644
index 00000000..2fe42682
--- /dev/null
+++ b/pkg/migration/kubernetes_test.go
@@ -0,0 +1,63 @@
+package migration
+
+import (
+	"testing"
+
+	"github.com/google/go-cmp/cmp"
+	"k8s.io/apimachinery/pkg/apis/meta/v1/unstructured"
+	"k8s.io/apimachinery/pkg/runtime"
+	"k8s.io/apimachinery/pkg/runtime/schema"
+	"k8s.io/client-go/dynamic/fake"
+)
+
+func TestNewKubernetesSource(t *testing.T) {
+	type args struct {
+		gvks []schema.GroupVersionKind
+	}
+	type want struct {
+		ks  *KubernetesSource
+		err error
+	}
+
+	cases := map[string]struct {
+		args
+		want
+	}{
+		"Successful": {
+			args: args{
+				gvks: []schema.GroupVersionKind{
+					{
+						Group:   "ec2.aws.crossplane.io",
+						Version: "v1beta1",
+						Kind:    "VPC",
+					},
+				},
+			},
+			want: want{
+				ks: &KubernetesSource{
+					items: []UnstructuredWithMetadata{
+						{
+							Object: unstructured.Unstructured{
+								Object: unstructuredAwsVpc,
+							},
+						},
+					},
+				},
+			},
+		},
+	}
+	for name, tc := range cases {
+		t.Run(name, func(t *testing.T) {
+			dynamicClient := fake.NewSimpleDynamicClient(runtime.NewScheme(),
+				&unstructured.Unstructured{Object: unstructuredAwsVpc},
+				&unstructured.Unstructured{Object: unstructuredResourceGroup})
+			ks, err := NewKubernetesSource(dynamicClient, tc.args.gvks)
+			if diff := cmp.Diff(tc.want.err, err); diff != "" {
+				t.Errorf("\nNext(...): -want, +got:\n%s", diff)
+			}
+			if diff := cmp.Diff(tc.want.ks.items, ks.items); diff != "" {
+				t.Errorf("\nNext(...): -want, +got:\n%s", diff)
+			}
+		})
+	}
+}
diff --git a/pkg/migration/testdata/source/awsvpc.yaml b/pkg/migration/testdata/source/awsvpc.yaml
new file mode 100644
index 00000000..c62e492a
--- /dev/null
+++ b/pkg/migration/testdata/source/awsvpc.yaml
@@ -0,0 +1,8 @@
+apiVersion: ec2.aws.crossplane.io/v1beta1
+kind: VPC
+metadata:
+  name: sample-vpc
+spec:
+  forProvider:
+    region: us-west-1
+    cidrBlock: 172.16.0.0/16
diff --git a/pkg/migration/testdata/source/resourcegroup.yaml b/pkg/migration/testdata/source/resourcegroup.yaml
new file mode 100644
index 00000000..a84ff84a
--- /dev/null
+++ b/pkg/migration/testdata/source/resourcegroup.yaml
@@ -0,0 +1,7 @@
+apiVersion: azure.crossplane.io/v1beta1
+kind: ResourceGroup
+metadata:
+  name: example-resources
+spec:
+  forProvider:
+    location: "West Europe"