Incremental Merge for First Run (table exits with historic data)

The problem I’m having is running dbt first time with incremental merge on a table which already exists with historical data. I get data every day in another staging table which needs to be move to historical table. Do implementing dbt need to create table if it run first time with incremental?

When searching for a relation, dbt found an approximate match. Instead of guessing which relation to use, dbt will move on. Please delete schema.table_name, or rename it to be less ambiguous.

Need to add in project.yml:

database: true

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