QuickBooks Condense data tool - Utilization & Installation

Call us for instant help – We are available 24*7

Many companies use QuickBooks as their accounting software and handle their accounts. Usually, these company files grow in size by the time data is entered into it. Therefore, it is needed to reduce the size of the company file. QuickBooks provides its users with the QuickBooks condense data utility to reduce the size of the file. To use this utility you will have to use the QuickBooks condense data tool. You need to use this tool because it can help you to resolve the issues that you can face due to the larger size of the data files. In this blog, we have mentioned the details of the QuickBooks condense data tool. How to set up, install and utilize the QuickBooks condense data tool have been mentioned in the different sections of this blog.

What is QuickBooks Condense Data Tool?

QuickBooks condense data tool is a new tool that was launched by QuickBooks in 2019. This tool allows you to streamline all your company’s data in one company file. The most attractive feature of the QuickBooks condensed data tool is, it decreases the overall size of your file, which allows it to run faster on your system, but at the same time, it also keeps all the data and deletes nothing. In short, we can say that it is a tool that compresses your file size.

Points to Commemorate Before Using the QuickBooks Condense Data Tool

Before using the QuickBooks condense data tool, you are recommended to first make sure that this is the best choice for you because once you have condensed your data it can not be reversed. If you lose any data while condensing, you will not get it back.
The other thing is that you can not use the QuickBooks condense data tool to rectify the errors in your documents. It only summarizes the data but does not change or rectify any errors.
The next thing to remember is that there are chances that condensing can affect some of the important reports like the balance sheets, profit and loss statements, and many other reports.

Steps to Use the Condense Data Utility

Below is mentioned process to condense data in QuickBooks. Follow the stepwise process:

The initial step is to open the QuickBooks application on your system and then click on the file option.
Next, you will have to select the utility option.
There you will find an option for the condensed data. You will have to click on it.

After this, you will be redirected to a new window and will be provided with two options. You will have to select the first one.

Once you are done, it will then start the process of condensing your file and in the end, it will provide you with a prompt with all the information about the file like the reduction size, the location of the reduced file, and all other relevant information.

Read more - How to Fix QuickBooks is unable to create a backup file?

Procedure to Use the QuickBooks Condense Data Tool

The procedure to utilize the QuickBooks condenses data tool to condense your data file consists of various steps. We have mentioned all the steps in detail:

Look for Transactions

The very initial step is to check which transaction or data can be condensed and which can not be. You will have to open any transaction and see if you are getting an option to condense it or not.

Run the Reports

The next step in the procedure is to run the reports. Carry out the steps mentioned:

Open QuickBooks. Click on the file option. In the file option, click on utilities and then on condense data.
Once done, It will open up a prompt asking you to select the transaction and the dates.
Once you have done that, you will have to proceed to the next window and select the summarize transaction option.
You will be then asked for the method that you want to use in condensing.

Once done, you will have to select the transactions you want to remove and click on them.
Lastly, you will be needed to click on condense data option and it will then start the process.

Prepare Company File that You Want to Condense

You will have to remove the closing date. Follow the steps mentioned below to do so:

Look for the file option and then go to the preferences option.
There, you will have to go to the company preference option.
Now, you will see a closing date choice there, you will have to remove the date.
Now, you will have to initiate the profit or loss, balance sheet to make sure that your data is correct and no damage is caused to the data.
Once done, you will have to create a backup of the file.

Save Comparison Reports

Now that you are going to condense the data, it is going to eliminate some of your data. Therefore, we recommend you save the comparison reports in the form of a PDF so that you can compare if you lost any data or not. We recommend you keep Balanced sheets, cash flow statements, and other reports that you feel are important.

Use the QuickBooks Condense Data Tool

The last step is to condense the data. You will have to open QuickBooks, go to the File tab, click on utilities and then choose the method and click on the condense option. Wait till the process completes.

Compare the Before and After Reports

The last step is to make sure that the file before the condensing and after the condensing are similar. You will be needed to compare the balance sheet, and profit or loss reports and make sure they match the previous one. If you see that any transaction is missed, you will have to go to the missing transactions and restore the backup of the file that you have created. Once it is restored, you are required to condense the data again following the same process.

Conclusion:

We hope that we have done justice to all your questions regarding the QuickBooks condense data tool and all the process to install, set up and use it is clear to you now. We believe that pursuing the steps as they are mentioned will make it easier for you to use the condense data tool in QuickBooks. If you feel like any of your query is not answered in the above sections of this article, you can reach us.