Use Quickbooks Condense Data Utility To Reduce Company File Size

Quickbooks Condense Data Utility

QuickBooks company file size getting larger by the use creates problems for users. To tackle this issue developers developed the QuickBooks Data utility. The intuit developers made it user-friendly and easy to use. This utility can help you compress your data file and streamline the data making it easier to manage.

QuickBooks Condense Data utility can help you compress your data file. If you are unable to use it properly and are looking for technical assistance, contact Asquare Cloud Hosting’s expert team.

What Are The Benefits of Condense Data Utility?

Condense Data Utility allows users to compress their data file and reduce its size. Companies around the world prefer it for the following reasons:- 

  • Reduces the size of the company file by removing audit trails.
  • Makes it easier to access the company file and makes it faster.
  • Removes unnecessary transactions while not harming the important transactions.
  • Summarizes detailed transactions.

Things To Know About QuickBooks Online Condense Data Utility.

While QuickBooks enterprise condense data utility is very useful, it brings a permanent change in your company file, and thus there are certain things you should know about it:-


You would not be able to go back to the exact company file after using Quickbooks Condense Data Utility. If your QuickBooks is running smoothly and you do not really need to condense your company file, we will advise you not to use this utility. Companies generally use it when their data file is very large, the list limit is about to be exhausted, or you are changing your system hardware.

Your File Size Can be Unaffected.

Generally, the reason for using QuickBooks desktop condense data utility is to reduce the company file size. However, in certain situations, the file size can remain unchanged. The utility generally removes transaction details and lists entries in order to reduce the size. There will be no major impact if your data is full of inventory items or open transactions.

May Fail to Fix File Damage

Many users have been using this utility to repair damage affecting your company file. There is no sure assured guarantee that the damage will be fixed using Quickbooks Condense Data Utility. In case it does not work, try restoring the backup company file or create a new one.

Things that aren’t affected.

If you are still confused about which transactions will be affected and which ones will be not, here is a complete list of all the things that remain unaffected by Quickbooks Condense Data Utility:- 

  • Payroll Transactions: If the employee’s W2 is not viewed or the utility was used prior to 12/31
  • Invoices, Payments, Credit Memos and Refund Checks: If they all are not linked correctly to each other.
  • Payments recorded to Undeposited funds: Transactions that are not deposited to banks. 
  • Bills, bill credits and bill payment checks: If these things are not properly linked to your system.
  • Estimates linked to invoices: Estimates are non-posting entries that can’t be condensed into posting transactions like journal entries.
  • Sales tax not paid in Pay Sales Tax: When you pay sales tax with checks, you’ll have to open invoices that aren’t condensable.
  • Account-based reports: Accrual-based Profit and Loss, balance sheet, statement of cash flows, and trail balance remain unaffected.   

How Does Condense Data Utility Work in QuickBooks?

Backing up your company file is important before you use QuickBooks condense data utility. Your application will ask you to do it before you actually use it. Follow these steps to use the utility:-

  • Close all Quickbooks windows.
  • Tap on the File tab and choose Utilities, then select Condense Data.
  • Select the first option. The application will also inform you about the reduction in your file size.
How do you want to condense your company file.
  • Choose Next, and then “Working on your file now will appear” on your screen. A final window will appear that informs you about the total reduction of your company file size. It also shows the location where your backup is stored that was generated before condensing your file.
company file size

How To Find Out When QuickBooks Online Condense Data Utility Was Used?

In case you want to find out when your company file was condensed, you just need to go through these simple steps:- 

  • Tap on the Reports menu and then choose Account & Taxes and select Audit Trail.
  • Open the report and see the date of the last transaction. This date is when your company file was condensed.  

So now we hope that you know all the required things about Quickbooks condense data utility. We discussed why companies are using it, how to use it, and all the important things one should know before using it. In case you are facing any difficulty following the given instructions, reach out to our Asquare Cloud Hosting Helpline Number so that you don’t lose any data.

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