Red have software to convert on their web site. They also have a lot of documentation and advice on FCP workflows. Visit their site and study.
Information about your final delivery would help with more specific advice.
Basically use RED rushes to convert to ProRes. It is a batch process and although slow, it is recommended over using log & transfer. The flavour of ProRes depends on which version of FCP you have, plus drive speed and frame size you will be working with. If you are creating a ProRes4444 project with 2k frame size, you will need to be sure you have big enough and fast enough drives.
Also you post path round tripping to Color should be planned in advance. Maintain the same file names as the RED files if you ever intend to grade and then relink the RED media to the grade. Lots of potential pitfalls, but you are on the right track with the transcoding of the RED files to ProRes, rather than using proxies.