Last Updated on September 4, 2025
The latest version of QuickBooks Desktop makes it easy to perform accounting tasks that are no longer supported in the software’s older versions. This is because of several updates in Windows and other operating systems, the older versions are no longer compatible.
Therefore, consider upgrading to the latest versions, products, and editions, which will also provide bug fixes and offer an enhanced working experience. Switching the software ultimately means updating the company file as well. The thing to remember here is that the company file doesn’t update itself automatically, but a message will appear asking you to do so:
| “This QuickBooks file needs to be updated.” |
This blog will discuss the company file compatibility between QuickBooks versions. Going through this blog will help you avoid any further errors and confusion while updating the QB Desktop. Additionally, you will gain access to crucial information that you must take note of, and several factors that can determine if the QuickBooks copy supports the company file.
While updating QuickBooks, you may encounter several technical difficulties, which can cause a delay. In such cases, call us at +1(855)-738-0359 to receive expert assistance from a certified QuickBooks professional.
List of Terminologies You Must Know Before Updating QuickBooks
It is essential to understand the technical terminologies and get the definitions of these terms in the QuickBooks language.
| Product | Product is basically the software, such as QuickBooks Desktop Pro, Premier, or Enterprise Solutions(ES) |
| Version | It means that QuickBooks has a version designated by a year. E.g., QuickBooks Desktop Pro 2018 is different from Pro 2019. |
| Edition | Edition in QB software indicates the distinction among the features of the Enterprise solutions for various business types, such as: 1. General Business 2. Accountant 3. Retail 4. Wholesale and Manufacturing 5. Non-Profit 6. Contractor 7. Professional services |
Company File Limitations When Upgrading to a QuickBooks Product, Version, or Edition
You should be aware of the company file limitations if you plan to use a different QuickBooks Desktop product, version, or edition.
Product Limitations
First, let’s know about the company file limitations when upgrading to the QB Product:
- QuickBooks Premier company files can be opened in the Pro version and vice versa without modifying the data stored in the file.
- You can update Pro and Premier company files to the QuickBooks Enterprise Solutions (ES). On the other hand, you can’t open ES company files in Pro or Premier versions.
After discussing the product limitations, let’s now talk about the Version’s limitations.
Version Limitations
When you upgrade a QB version, the company file compatibility between QuickBooks versions could be affected in the following manner:
- Let’s say that your QuickBooks company file of the QB version belongs to a particular region; it can’t be opened in a different area. For instance, if the US version of it displays a message stating, “This file was not created with a US version of QuickBooks” when you try to access the file in another region’s version.
- You can upgrade the company file to a newer version in QB software, but you can’t open it in an older version. The only exception is when another user is utilizing the QuickBooks accountant copy.
- The QB software prompts you to update or convert the company file when it is already opened in a newer version. Remember that this upgraded version commonly updates the older company file.
Once you have gone through this section, proceed to the next section to learn about the limitations associated with upgrading to the QuickBooks edition.
Edition Limitations
A company file created in one edition (Retail, Manufacturing & Wholesale, or Accountant, etc.) is easily accessible in any other edition without affecting the data.
Reminders to Know When to Upgrade Your QuickBooks Versions
You should be aware of the reminders outlined below when upgrading the QuickBooks company file.
- You can create a separate folder named ‘Pre-Conversion Backup‘ to avoid overwriting files.
- To transfer company files between different locations and systems or computers, ensure that these files are running the same QB Desktop version and release.
- You should manually re-enter the transactions you entered in the upgraded or modified file in the old backup file if you want to use the previous QuickBooks version. Since you can’t move transactions or combine company files in QB Desktop, you need to use an alternative application.
- When you install a new version of QB Desktop on top of the old version, you should reinstall the old version in a different file to restore the pre-conversion or old backup.
With this, our journey comes to an end; now let’s wrap this up, and hopefully all your confusion has cleared.
Conclusion
The detailed blog covers significant information on company file compatibility between QuickBooks versions. This will clear all the doubts coming in your head about the compatibility and limitations that come with upgrading the QuickBooks Product, Version, or Edition. Additionally, it has provided essential reminders for those following the upgrade procedure. However, even after reading this blog, many doubts may still arise in your head. In such a scenario, get a free expert consultation by calling us at +1(855)-738-0359.
Frequently Asked Questions (FAQ’s)
QuickBooks Desktop doesn’t support backward compatibility. So, if you generate or change a company file using QB Desktop Pro 2024, you can’t open or edit that file in QB Desktop Pro 2020. Basically, any changes made in the 2024 version will be inaccessible to users who remain on the 2020 version.
QuickBooks offers two main types of versions: QuickBooks Desktop and QuickBooks Online. In the desktop version, primary products are QuickBooks Enterprise Solutions, QuickBooks Pro, and QuickBooks Premier. On the other hand, QB’s cloud-based subscription service also exists, offering plans such as Solopreneur, Simple Start, Essentials, Plus, and Advanced.
No, you can’t open the company file in QuickBooks Pro or Premier after moving it to the QB Enterprise. Therefore, it is recommended that you create a backup of your company file before migrating it from QB Pro or Premier to the Enterprise version.
To switch to QuickBooks, start by selecting Help and then choosing Manage My License. Next, select ‘Change to a Different Industry Edition’. Lastly, select the industry edition you wish to switch to. The QB will take a few minutes and then launch the version you have chosen. In a particular case, if you want to switch from QuickBooks Accountant to Enterprise Accountant to another edition, follow the upcoming instructions. First, head to the File, followed by Next, and select Toggle.
Kate is a certified public accountant (CPA) with expertise in various accounting software. She is technically inclined and finds passion in helping businesses and self-employed people carry out bookkeeping, payroll, and taxation without worrying about errors. Every once in a while, Kate loves to travel to far-off places and relax in the lap of nature.