QuickBooks differentiates itself in the market with its advanced features, which simplify complicated accounting tasks and ensure that books are well-organized. The company file is the main platform on which tasks are performed within QuickBooks. However, as data accumulates, errors and glitches can begin to affect the software's performance. In such cases, users may opt to create a new company file from an existing one in QuickBooks. This article provides a step-by-step guide for doing so, as well as some helpful tips to keep in mind during the process.
At what point to create a new company file in QuickBooks?
When QuickBooks performance has been reduced despite attempts to troubleshoot, it may be necessary to set up QuickBooks for an existing company. Upgrading to a higher version of QuickBooks will not solve the issue of degraded performance in an older version, such as QuickBooks Pro vs. QuickBooks Premier.
When approaching the list limits of QuickBooks Desktop, which has a standard limit on the number of elements in lists, it is recommended to create a new company file from an existing one in QuickBooks.If the company file becomes damaged beyond repair, despite using the Rebuild Data Utility or seeking assistance from QB support, the only solution is to start a new company file or restore the recent backup.If you need to stop/start tracking inventory, it's best to create a new company file instead of adding new items to the old one. Changing inventory items to non-inventory part items or vice versa can have tax implications and is not advisable.
Step- by-step Guide to Create a New Company File in QuickBooks Desktop
Follow the given methods in order to creating a new QuickBooks company file from an existing one:
Step 1: Create a copy of the current company file
Open the current company file in QuickBooks Desktop.Use F2 key to open the Product Information window.Look in the File Information section to find the location of the company file on your computer.Create a backup of the company file.Restore the backup and rename it to create a copy of the original company file.See Also: QuickBooks Company File Error 6000 83
Step 2: Remove copied transactions from the new company file
Open the new company file to review it.From the File menu, go to Utilities and select Condense Data. If prompted to remove budget data, click Yes.Select All Transactions and click Next.Follow the on-screen instructions to remove the copied transactions, and start over with a fresh slate for accounts, lists, templates, and preferences.
Step 3: Verify that Accounts are Empty
After condensing the data and removing transactions in the new company file, it's important to ensure that accounts are completely empty.To do this, open the Reports menu and select Reports Center.Search for the Accounts and Taxes section.Open the Transaction List by Date report.Adjust the date range to start before the oldest transaction in the copied file.Review the list and make sure that there are no transactions present. If any transactions are listed, edit and delete them to ensure the accounts are empty.
A guide on how to start a new QuickBooks company file and transfer old data for QuickBooks Accountant and Enterprise users:
Click on the File menu and select New Company from Existing Company File.Browse and select the company file that you want to copy.Click on the file and choose Open.Give a relevant name to the copy of the company file.Once you have named the file, select Create Company to complete the process of creating a new QuickBooks company file and transferring the old data.
Conclusion
The steps mentioned in this blog can be helpful for creating a new company file from an existing one in QuickBooks. However, it is important to note that this process can be complicated and should not be attempted without proper knowledge. If you are uncertain about how to create a new company file in QuickBooks Desktop, you can contact our QuickBooks desktop support team at 1-800-615-2347 for assistance.