How To Host Your Company Data In Multi-User Mode In QuickBooks Desktop

QuickBooks software is the most useful accounting software which helps the user to do their accounting work very easily and within a time. It has many features to make your accounting and bookkeeping work very simple. In this article, we will discuss how to host your company data in multi-user mode in QuickBooks Desktop. So be here and read this till the end.

You need to follow the below steps to set up or troubleshoot a multi-user network:

  • You need to set up a network or multi-user environment first.
  • Fix the issues like Error H101, H202, H303, and H505 to resolve multi-user issues.

Hosting Defined

Hosting is the place where you can save your company file and allow to access them to another computer.

You should remember that QuickBooks uses a service to manage company file access, which we have mentioned below for your quick reference:

In the Windows control panel, you can check the service in the User Account, under Users for this system. You need to check the services that will compatible with your version of QuickBooks Desktop.

We have mentioned below the QuickBooks Desktop hosting modes:

  • Dedicated hosting
  • Peer to peer hosting
  • Alternate hosting

How you can get company file access:

QuickBooks Desktop needs the below 3 conditions that you need to complete before getting access to company files:

  • Windows file permissions: If you are logged in then you must have the permission to set to full control that is including permission to look at, open, and modify the file.
  • Database Server mode: The database server will open successfully the company file.
  • QuickBooks User login: All users should have a QuickBooks user login and password.

Once you completed these three requirements then you can access the company file.

Hosting modes

You will get hosting mode in each version of QuickBooks Desktop and on each computer. Hosting is not set with company file or QuickBooks Desktop installation. The hosting mode setting for every version is independent if you currently using multiple versions of QuickBooks Desktop 2018 or the latest version. 

We have given below 3 types of hosting modes.

  • Not Hosting (also known as Hosting Off)
  • Hosting Local Files only
  • Hosting Local & Remote files.

In Not Hosting Mode

  • In this hosting mode, QuickBooks Database manager runs as a normal process like a windows user using QuickBooks Desktop.
  • This hosting Mode does not support the multi-user mode. It always uses the shared memory to communicate with QuickBooks Desktop. You need to remember that only the QuickBooks user that using QuickBooks Desktop with the local system can use the database server to get access to a file in not hosting mode. 

In Hosting Local Files only mode

  • The QuickBooks Database Server Manager runs as a Windows service saved as QuickbooksDBXX and like the windows user QBDataServiceUserXX.
  • In Hosting Locat Files only mode as long as the computer is on your service of QuickBooksDBXX also will be running.
  • You will be able to use multi-user mode also will be able to use TCP/IP to communicate with QuickBooks Desktop. QuickBooks Desktop with a remote system will get access to company files using the database server running in Hosting Local Files only mode.
  • A computer with this hosting mode will be able to host only files that are placed on that computer.   

In Hosting Local & Remote files mode:

  • In this mode, the QuickBooks Database manager runs like a normal process as you have logged on windows user. This process will start when the user will log in and will stop when that user will log out.
  • A system with In hosting local and remote files mode will support multi-user mode and will be using TCP/IP to communicate with QuickBooks Desktop. QuickBooks Desktop users with remote computers will be able to access company files on this computer using a database server.
  • In this mode, a local system will be able to host files stored in it also the files that are placed in remote systems and opened in the local computer.

How QuickBooks Desktop determines which database server to communicate with

  1. First, you should remember that QuickBooks Desktop always looks for the .nd file. This file is a small text file having the same name as you have saved with the company file name with a .nd file extension. This file will be placed at the same dir where you have the company file, which has the file extension a .qbw. The directory also has the information required to contact the server like the IP address and port.
  1. QuickBooks Desktop will determine if the .qbw file is in use or not.
  1. If Quickbooks Desktop will find that the .nd file and company file both are currently in use then QuickBooks Desktop will try to connect with the server.
  • QuickBooks Desktop will open the company file if it is successful.
  • If it is not successful then you will get an error message that explains the steps you need to follow to resolve the issue. 

Winding Up!!

As we have discussed above how to host your company data in multi-user mode in QuickBooks Desktop. We hope you like and understand the article and take advantage to resolve the issue in your QuickBooks Desktop.

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