QuickBooks Unable to Backup Company File - What to Do?

Have you encountered the QuickBooks unable to backup company file error? If so, you are now on the right page. This post will tell you how to fix QuickBooks unable to back up company file errors and offer a better way to back up QuickBooks.

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Updated on Feb 26, 2024

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QuickBooks is one of the most renowned accounting tools that can help handle payroll, take company payments, and manage and pay invoices. It keeps all of this crucial data on your computer's local storage. However, data loss is possible due to hardware malfunction or malware infection.

Therefore, it is vital to back up your QuickBooks to avoid these issues. QuickBooks offers a simple method for backing up the company file, and you can also set up scheduled backups for your company file data at regular intervals. However, sometimes, you may encounter the QuickBooks unable to backup company file or QuickBooks backup failed error. This article from EaseUS will tell you what to do in such a situation.

How to Fix QuickBooks Unable to Backup Company File Error

Below are 6 practical ways to help you fix the QuickBooks unable to back up the company file error on a Windows computer. Of course, you can try any method when QuickBooks cannot copy the company file. Let's move on to the details.

  1. Fix 1. Run Anti-Virus Scan
  2. Fix 2. Update QuickBooks to the Latest Release
  3. Fix 3. Use QuickBooks Rebuild Data Utility
  4. Fix 4. Check the Backup Path
  5. Fix 5. Check and Rename the Company File (.QBW)
  6. Fix 6. Rename Network Data File

Fix 1. Run Anti-Virus Scan

Use any reliable antivirus or anti-malware tool to do a comprehensive PC check for malware or computer viruses. This step is crucial if a virus or malware is to blame for the "QuickBooks is unable to backup the company file" error. You can use Windows built-in tool to help you to do so.  

Step 1. Head for Windows settings, and click on "Update & Security".

run anti-virus scan-1

Step 2. Click on "Windows Security".

run anti-virus scan-2

Step 3. Click on "Virus & threat protection".

run anti-virus scan-3

Step 4. Click on "Scan options".

run anti-virus scan-4

Step 5. Click on "Full scan" and then "Scan now". 

Step 6. Wait for a few minutes; the processing will take some time.

Fix 2. Update QuickBooks to the Latest Release

If the "QuickBooks file is open and cannot be backed up" error continues, you should reinstall QuickBooks. However, that is not the best option, as you must repeat the full QuickBooks setup process.

Alternatively, you could check for software upgrades. Installing the most recent updates may also resolve the "QuickBooks unable to back up the company file" error. You can perform the following steps to check and install the updates.

Step 1. Launch QuickBooks and go to Help > Update QuickBooks.

update quickbooks-1
Step 2. Click Update Now.

Step 3. Choose the available updates and click Get Updates to download the updates.

update quickbooks-2
Step 4. Restart the QuickBooks. It will ask you to update; click Yes and follow the update installation wizard.

update quickbooks-3
Step 5. Reboot the system after installing the updates.

Step 6. Open the software again and try to back up the company files.

Fix 3. Use QuickBooks Rebuild Data Utility

QuickBooks has the option to rebuild the company files. Rebuilding the company file data will usually fix problems like "Backup Failed" or "QuickBooks cannot back up company files." Follow the steps below to rebuild company files in QuickBooks.

Step 1. Head for File > Utilities and click Rebuild Data.

use quickbooks rebuild data utility
Step 2. If a request to back up the company file appears, click OK.

Step 3. Wait for minutes and click OK when the notice "Rebuild has completed" displays.

Go to File > Utilities > Verify Data to see if the rebuild was successful after it's finished. Then make another attempt to back up the company files.

Fix 4. Check the Backup Path

QuickBooks will fail to back up the company file when the backup path is unreliable or unavailable. Before starting the backup operation, ensure the backup location disk or directory is correct and the external drive is securely plugged into the system if the backup directory is located there. Follow these steps to check:

Step 1. Launch QuickBooks.

Step 2. Head for Preferences and check the backup path or directory where you want to store the backup.

Step 3. Verify the path and check if it is valid and accessible.

Fix 5. Check and Rename the Company File (.QBW)

Special characters shouldn't be used in the QBW file name. Additionally, the file name should contain at most 65 characters. You can do the following to check and rename the company file.

Step 1. Navigate to company file location C:\ Users\ Public\ Public Documents\ Intuit\ QuickBooks\ and then check the file name.

Step 2. Right-click on the file. Then, choose the Rename option.

Step 3. Remove extra and special characters of the file name. You can also rename the company file.

Step 4. Press Enter.

Fix 6. Rename Network Data File

You cannot back up the company file if the network data file is broken or you moved the .QBW file without moving the corresponding one on your computer. Renaming the network data file can help solve the issue. The detailed steps are as follows:

Step 1. Open Windows File Explorer and navigate to C:\ Users\ Public\ Public Documents\ Intuit\ QuickBooks\, and locate the network data file.

Step 2. Your company's file with the.ND extension has the same name as the.ND file.

Step 3. Right-click on the.ND file and select Rename.

Step 4. Add .old at the end of the file name and then press Enter to save the file.

rename network data file

Copy the.ND file and put it in the same place if you have changed the QBW file to a different location. Then, try to create a backup once again.

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Alternative to QuickBooks Built-in Backup Feature: Using APP Backup Software

Undoubtedly, the QuickBooks built-in backup feature is an excellent help to back up the company files. But as mentioned in the article, you may encounter the Quickbooks backup failure or QuickBooks unable to back up your company file error. Is there any better way to back up QuickBooks?

The answer is in the affirmative. You can back up your QuickBooks with professional data backup software, such as EaseUS Todo Backup.

EaseUS Todo Backup Home is an all-in-one backup and restore tool for Windows 11/10/8/7. It can help you to create a backup of your files, systems, and disks and back up QuickBooks automatically. And it lets you create various backup types, like scheduled, full, incremental, and differential backups.

Furthermore, you can install Windows on new SSDs without a USB and create an iso image of your hard drive. It has powerful cloning features, which can help clone a hard drive. Most importantly, you can enjoy a security zone and 250G free cloud storage to protect your backups better.

The detailed steps to back up your QuickBooks are as follows.

Step 1. Download and install EaseUS Todo Backup on your computer. Click the "Create Backup" button on the main interface.

create backup

Step 2. You got to make a backup of your software applications, so go with the option by clicking "Apps data".

select app data

Step 3. All the apps that can be backed up are shown on the screen. (Outlook is supported now, and we will gradually develop and support more application backups, such as game applications and other mailboxes like thunderbird, Gmail, Microsoft 365 applications, and so on.) Scroll down to find the app that you need to back up, and click "OK".

select the app data you want to backup

Step 4. Follow the guidance and select a place where you want to store the backup. It is recommended that you choose Cloud service, NAS, or an external hard drive to avoid the computer failing or crashing.

choose a place to save backup

Step 5. You can set customized backup by clicking the"Option" button. It allows you to set a scheduled backup daily, weekly, monthly, or upon an event. It sets differential or incremental backup according to your needs. 

customize backup settings

Step 6. When you finish settings, click "Backup now" to start the backup process. The time will depend on the size of your source data, but it won't take too much time.

What Is QuickBooks Unable to Backup the Company File Error & Its Causes

The QuickBooks unable to back up company file error may come up when QuickBooks cannot update the data and create a backup for it. You might not create a backup of your crucial QuickBooks data when encountering this error.

quickbooks unable to backup company file error

The primary cause behind this error is the unavailability of the storage device storing the backup file. That is, the external storage device creating backups for QuickBooks is no longer connected to your computer. Also, to blame are as follows:

  • Corrupt company file.
  • Damaged network data file.
  • Wrong backup path in QuickBooks settings.
  • Company backup files exceeding the 3 GB size limit.
  • Company file name exceeding the 65-character limit.
  • Another program uses QuickBooks files during the backup process.
  • Not having enough storage space available on the memory to save the backup file.

The Final Say

That is all about resolving the QuickBooks unable to backup company file or QuickBooks backup not working error. When QuickBooks is unable to back up the company file, you can try any of the methods above. As mentioned earlier, you can use professional app backup software - EaseUS Todo Backup Home, to help back up your QuickBooks. Thus, you will not be troubled by this error.

EaseUS Todo Backup Home can not only help you back up QuickBooks but also allow you to do other tasks. For instance, you can use it to back up PST files and compress backups. Just try it!


1. Why can't QuickBooks find my company file?

When QuickBooks cannot find the company file, it's generally because your company file was transferred or renamed. It may also occur if your computer loses connection to the location of the QuickBooks file or if you delete the QuickBooks file from your computer.

2. Where are QuickBooks backup files stored?

QuickBooks keeps this backup file on your hard disk in a folder called "Auto Backup" beneath the QuickBooks directory. If you want to find your backups on your PC, try to find them this way.

EaseUS Todo Backup

EaseUS Todo Backup is a dependable and professional data backup solution capable of backing up files, folders, drives, APP data and creating a system image. It also makes it easy to clone HDD/SSD, transfer the system to different hardware, and create bootable WinPE bootable disks.

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