Why and How to Backup Your QuickBooks Company File


Why and How to Backup Your QuickBooks Company file

By PHB Guest Blogger, Matt Jacobs, Client It Manager, Advanced Network Solutions

After a long day of sifting through receipts, updating spreadsheets, and crunching numbers, you have successfully imported everything in to QuickBooks. There is one last thing to do; save your work and relax. Whether it’s closing time and you have already shifted gears from work to your evening plans or you’ve been counting down the days to the vacation that starts tomorrow, we all overlook one major thing: backing up your company file.

I know what you are thinking, “I saved the file, everything is fine.” While you have saved the data, you haven’t saved all the customized features and settings that are unique to your company. To save those features and settings, I recommend you perform two extra steps as you’re closing out your day.

Step One: Create a backup of your company file. Don’t just copy and paste your files to another location. Go in to the File menu of QuickBooks and select Backup Company. When prompted, save the file to your desktop, portal drive or a location that makes sense in your computer environment. When selecting the location, be mindful of where you are saving. If you are saving to a company server, make sure the location is locked down so that only authorized individuals have access. If you are saving to a portable drive, I recommend that the drive is encrypted to help deter unauthorized access. What is so special about a Company Backup? “A backup file contains everything you need to re-create your company file and QuickBooks environment, including all of the QuickBooks files (templates, letters, logos, and images) related to your company file. QuickBooks also backs up your QuickBooks Statement Writer, Cash Flow Projector, Business Planner, and Loan Manager files if you’re using these features….” (Intuit Learn & Support Website, Back up the QuickBooks Company File).

Step Two: Save your back up in multiple locations. During step one, I recommended saving to your local storage, but what happens when local storage fails? Computers crash, portable drives are lost or damaged, and servers can be compromised. Upload your backup to some form of cloud storage. Most cloud based file storage providers, offer a low-cost option with sufficient storage for small to medium-sized files. When selecting your cloud storage provider, make sure they meet industry compliance and security standards. Do your due diligence and comparative research to ensure you choose a cloud storage provider who meets your unique business needs. Keep in mind, the cloud is not infallible either. Internet access is required to access cloud storage, and sometimes it’s not available. That’s why I stress having your data in at least two locations: a local location such as an encrypted portable drive and in a remote location or cloud storage. Once you do these two steps, then you can relax, knowing that your data is safe.

Sources:“Back up the QuickBooks Company File.” QuickBooks Learn & Support, https://community.intuit.com/articles/1436816-back-up-the-quickbooks-company-file.

Bio: Matt Jacobs is a Client IT Manager with Advanced Network Solutions, one of the largest managed IT services providers in Middle Tennessee. When Matt isn’t helping customers backup data files or solve computer and networking issues, he is an active member of the Amateur Radio Community. Matt is a part of the Davidson County SKYWARN Team that assists the National Weather Service with Storm Spotting during severe weather outbreaks.