Before I start:
VB is not an object oriented language ... C# and VB.NET are!
It's crucial that you bare this deep in your mind - developing object oriented is nothing like procedural programming. You can make your new system CODE look like your current - but you really shouldn't. If you don't feel like learning Object Oriented and change the way your application goes you should not start this project because you'll waste time and money and probably will fail.
...After all you don't dip your pen in ink well to refill it- old methods are interesting but technology is here for a reason.
But I am not sure on challenges that I will be facing.
....You should learn object oriented. After that with the right questions it will be easy to get answers VB is no longer supported by Microsoft and you should not stay behind especially when the customers ask you to move it. It won't be easy - but you don't have a choice.
One method is to just understand the VB code and rewrite all the modules in C# or VB .net
....This is the only way - when things will start falling apart - you will not accuse the convertor - you are responsible to understand every function in your system
The other way that I am not aware of is the tool based conversion.
...others offered you tools - its good for syntax but risky for overall functionality
May I know how you would approach with such conversion? What type of tools you would prefer for conversion and challenges that you might face?
...map your functions with Visio word excel or more professional tools like UML diagram applications
For simplicity lets assume that we are going to convert a simple VB to a VB .net or c# windows application.
...building the forms is easy the components are usually more powerful
Would you prefer VB to VB.net conversion or VB to C# conversion.
... Choose C# vb make people think they are still in a vb environment... C# makes you understand you are in a different world. Yet it is important that you will know that Microsoft decided to align the two languages to have the same functionality.
There are good convertors from one language to the other.