How (and Why) to Back Up Your QuickBooks Desktop Company File

Your QuickBooks company file is more than just data—it’s your business. If you lose it, you lose critical customer records, financial history, and invoices you can't easily recreate.

And yes—it happens more often than people think.

Here’s how to protect your QuickBooks Desktop file with proper backups, so your business never skips a beat.

📋 Quick Summary:

• Backups are essential—losing your file could end your business

• You can create local or automated backups inside QuickBooks

• Backups should be stored on external devices or secure cloud drives

• Restoring a backup can undo recent changes or recover from disaster

• Need help? We can guide or handle it for you

Why Backups Matter More Than You Think

We’ve all lost files—Word docs, spreadsheets, presentations. It’s annoying, but manageable.

But lose your QuickBooks company file, and you’re dealing with:

• Lost customer/vendor records

• Missing transactions

• Hours (or days) of rework

• Possible IRS or legal problems

• Major financial impact

Even if your office is safe from natural disasters, hardware failure, corruption, or hacking can happen anytime.

Step 1: Make Two Key Decisions

Before setting up your backup in QuickBooks Desktop, ask yourself:

• Where will the backup be stored?

  • USB drive

  • External hard drive

  • CD/DVD

  • Secure cloud storage

• Do you want to back up manually or automatically?

  • Manual gives you control

  • Automatic protects you when you forget

💡 Tip: Store backups in a separate location from your office. That way, you're covered in case of fire, theft, or equipment failure.

Step 2: Create a Local Backup in QuickBooks

1. Go to File > Back Up Company > Create Local Backup

2. Choose Local Backup and click Options

3. Choose your storage location (e.g. USB drive)

4. Set your preferences:

   • Add a date/time stamp?

   • Limit number of saved backups?

   • Get reminders every X file closings?

5. Select Complete verification

6. Click OK

📌 You must be in Single-User Mode to run a backup.
File > Switch to Single-User Mode

Also, make sure your QuickBooks is updated:
Help > Update QuickBooks Desktop

Step 3: Schedule Automatic Backups

Want peace of mind? Let QuickBooks back up your file on a schedule:

1. After setting local backup options, click Next

2. Choose to back up:

   • Immediately

   • On schedule

   • Both

3. To schedule:

   • Click New

   • Choose days/times

   • Click Store Password and enter your Windows password

   • Click OK

You can return and edit this schedule anytime.

Step 4: Restore a Backup (Use Caution)

If something goes wrong, you can restore a saved file:

1. Go to File > Open or Restore Company

2. Select Restore a backup copy > Next

3. Choose Local backup > Next

4. Find and select the .qbb file

5. Decide where to restore it

   • Rename to avoid overwriting

   • Choose a different folder if needed

6. Click Next and follow prompts

⚠️ Warning: Restoring will overwrite your current file if you use the same name and location.

Don’t Risk It — Let Us Help

Restoring files, setting up backups, or switching computers can get complicated fast. One small misstep and you could lose more than you recover.

If you're not 100% confident in how this works, contact Peak Advisers. We’ll walk you through it—or handle it for you.

❓ FAQ: Backing Up QuickBooks Desktop

Q: How often should I back up my QuickBooks company file?
A: We recommend backing up every day you use QuickBooks, especially before closing the program.

Q: Where should I store my backup?
A: Use an external device (USB, external hard drive) or cloud-based secure storage—not your main computer.

Q: Can I schedule automatic backups?
A: Yes. QuickBooks Desktop lets you create a schedule that runs even when you're not at your desk.

Q: How do I know if the backup worked?
A: If you selected “Complete verification,” QuickBooks checks the file before saving it. You’ll also see a confirmation screen.

Q: What if I overwrite the wrong file?
A: You may lose data permanently. That’s why we always suggest renaming your backup files and storing them safely—or contacting us first.

Need Help with Backups or Restores?

Don’t wait for a disaster to find out you weren’t prepared. We can:

• Set up your automatic backup system

• Walk you through restoring old data

• Review your current backup plan for peace of mind

📩 Reach out to Peak Advisers, and let’s protect your business together.