Connection Has Been Lost issue is a QuickBooks company file error that arises when the user is unable to access the company file while using QuickBooks desktop. It asks QuickBooks to close immediately, potentially causing data loss.

QuickBooks stores financial information and records related to business in a company file. When the “The connection to the company file has been lost” message appears while opening or working with a company file on QB desktop, you cannot access, retrieve, modify, or store the financial information or data. The damaged company file (the QBWUSER.ini file) is the major root cause of this problem.

This issue may arise due to file corruption, insufficient permissions, or interference from third-party processes.

The user will see the following error prompt when facing this issue:

This error states that “The connection to the company file has been lost. QuickBooks must close immediately. Any unsaved data will need to be re-entered”

Quick Solution

Problem	Quick Fix
The error occurs due to the Portable Storage Drive.	Ensure that the Portable Drive is connected to the computer because, generally, the company file is stored on a local drive.
The error occurs due to enabled Power Management Settings	Turn off the Sleep, Standby, and Hibernation Modes as they disrupt the connection if they are activated on the host computer.
The error occurs due to the enabled hosting mode.	Hosting means a computer that has a company file stored allows other computers to access the same file. Turn off the host mode to avoid connection problems.
The error occurs due to the enabled hosting mode	Hosting means a computer which has a company file stored allows other computers to access the same file. Disable the host mode to avoid the connection problems.
The error occurs due to an Antivirus or Firewall	Please turn off the Firewall, as it can interfere with the communication between QuickBooks and the company file.

Reasons Behind the Problem Connection Has Been Lost in QuickBooks

Users may face the problem while working with company files due to the following reasons:

Company files are stored on a different system or a portable drive, and the connection to the storage device is disrupted.
Activated sleep or hibernation mode in the Windows power management settings.
Corrupted or damaged data within the company file.
Interference of Antivirus or Firewall with QuickBooks.
More than one system on a network hosts the QuickBooks company file.
Your internet connection may be poor.
You may require additional permission to save or access your file. If you don’t have access, you may find this error.
An outdated version of QuickBooks can also cause this error.
Multiple systems with multi-user mode may cause this issue.

5 Methods to resolve the error Connection Has Been Lost in QuickBooks

Method 1: Check the Connection with the Portable Storage Device

It is advisable to keep the company file on the same system on which the QuickBooks desktop is installed.

However, if the File is stored on a portable device or somewhere on the network, there could be a connection issue with that device or network, making the company file inaccessible.

The portable device could be a flash drive (pen drive) or external hard disk, a location on a network.

The portable storage drive in which the company file is saved should be connected to another computer.

Follow the below steps:

Step 1: Disconnect and reconnect the drive.

Step 2: Find the QuickBooks Company File (QBW) in a removable drive from My Computer.

Step 3: Save another File to ensure it’s working.

Note: Make sure that the drive has enough storage space to store the QuickBooks Company File.

Method 2: Disable Power Management Settings on the Server

If the above method does not solve your problem, try turning off the Power Management Settings on the server.

For this, follow the steps:

Step 1: Go to the Windows Control Panel and open the Power Management Settings on the system where the company file is stored.

Step 2: Press Windows Key.

Step 3: Type and select Power Options in the search results

Step 4: Turn off Sleep, Standby, or Hibernation Modes on the host computer.

Note: Please refer to the Windows Help and Support Manual for more detailed information about Power Options.

Method 3: Fix the Company File with QuickBooks File Doctor

Run QuickBooks File Doctor to resolve the Connection Has Been Lost issue in QuickBooks.

Step 1: Open Tool Hub and select the Company File Issues tab.

Step 2: Click on the File Doctor option in the Company File Issues.

Fix the Company File with QuickBooks File Doctor

Step 3: Click on the Company File Diagnose option.

Step 4: View the results after the diagnosis process ends.

Note: QuickBooks does not support wireless networking, and it is not reliable for company files. Please follow this step at your own risk.

Method 4: Turn Off Firewall

The firewall can interfere with QuickBooks, which can lead to the problem of the connection being lost.

Follow the steps below to turn off the Firewall:

Step 1: Press the window button to open the Start Menu.

Step 2: Open Firewall settings.

Step 3: Select the Advanced Settings in Firewall settings.

Step 4: Right-click on the Inbound Rule in Advanced Settings.

Step 5: Go to New Rule.

Step 6: Select the TCP option.

Step 7: Select the Specific local Port in Port.

Note: You need to create the Outbound Rule in a similar way you created the Inbound Rule.

Method 5: Fix Hosting on all Systems

Host system tasks

Make sure QuickBooks Database Server Manager is installed on all the hosting systems. To check this, press the Windows key and type QuickBooks. If nothing appears related to QuickBooks or QuickBooks Database Server Manager, then you need to install it.

Check Hosting Settings

If QuickBooks is installed on the host system:

Step 1: Open QuickBooks File Menu.

Step 2: Go to File and select Utilities.

Step 3: If “Stop Hosting Multi-User Access” appears in the menu, hosting is already enabled, and you can proceed to the next step.

Step 4: However, if “Host Multi-User Access” appears, select it to enable hosting on this computer, and then proceed with the next step.

If QuickBooks is not installed on the host system:

Step 1: Double-click the QuickBooks Database Server Manager icon in the Windows system tray (or select Start > All Programs > QuickBooks > QuickBooks Database Server Manager).

Step 2: Click on the Database Server

Step 3: Make sure your company file shows up in the list of currently connected files. If it’s missing, go to the Scan Folders section and find instructions on how to add it.

Step 4: Close QuickBooks Database Server Manager.

2. Delete and recreate .nd file:

Scan the folder where your company file is saved. This process creates a file called the Network Descriptor (nd) file. The *.nd file contains important details about the computer hosting your company file.

Step 1: Press Windows key

Step 2: Type and select QuickBooks Database Server Manager.

Step 3: Click Add Folder and look for the folders which store the company file.

Step 4: Click Scan after adding all the folders.

Step 5: Click on Close (the data files will appear under the QuickBooks company file).

Step 6: Browse to the folder that stores the company file and ensure that a file named .band is created for every company data file.

Note: Uninstall and reinstall QuickBooks if QuickBooks Database Server Manager does not appear in the programs list.

Workstation Tasks

Ensure hosting is turned off.

Open QuickBooks.
Select Utilities.
Disable hosting by enabling QuickBooks Single User Mode if Stop Hosting Multi-User Access appears on the list.
After ensuring that the hosting mode is off on all computers, the user should scan for the ” QuickBooks multi-user mode not working ” error.

Open company file using UNC path

UNC (Uniform Naming Convention) is a way that Windows uses to describe where things are on a network.

For instance, if you want to find a company file, you can use a UNC path like this: \\Computer Name\Shared Folder\. The “Computer Name” part is like the server’s name. To open your company file, follow these steps:

Open QuickBooks Desktop.
Select File and Open or Restore Company.
Select Open a company file.
Click on Next.
Click on My Network Places.
Double-click on the Entire Network.
Browse to the location on the server.
Choose Company File and Click on Open.

Final Words

The error ” Connection Has Been Lost ” in QuickBooks can affect the workflow and cause the company File integrity to fail. This problem can cause QuickBooks to close abruptly and lead to data loss. Incorrect file permissions, unstable network connections, or interference from third-party processes or a firewall can cause a connection issue.

Hopefully, the information given above will be useful to you. But if you are still facing any kind of issues with your software and need professional assistance regarding accounting, bookkeeping & accounting software-related issues, then feel free to get in touch with us at +1-802-778-9005, or you can mail us at [email protected]

Frequently Asked Questions

Why Does the QuickBooks Connection Has Been Lost Error Appear When QB is Connected to a Network?

When you see the error, QuickBooks connection has been lost while being connected to a network; there can be some reasons behind this issue:

The file may require additional permission to run the QuickBooks application.
When your Firefox network or any other application like antivirus restricts QuickBooks from functioning or connecting over the network.
When you have turned on the power-saving mode.
When you are using an unstable network or using a wireless network.

Can corrupted company files trigger the “Connection Has Been Lost” error?

Yes, corrupted or damaged company files (like the QBWUSER.ini file) are a major root cause of this error.

How do I fix a network connection error in QuickBooks?

To fix a network connection error in QuickBooks, follow these steps:

Ensure your internet is stable and working.
Restart your computer and router.
Use the QuickBooks Tool Hub to detect and fix issues.
Ensure the server hosting the company file has multi-user mode enabled.
Make sure your firewall isn’t blocking QuickBooks by allowing required ports.
Ensure QuickBooks services are running on the server.
Keep QuickBooks and Windows updated.
If nothing works, reinstall QuickBooks.

How Do I Restore a Network Connection in QuickBooks Desktop?

To restore a network connection in QuickBooks Desktop, follow these steps:

Right-click the QuickBooks icon and choose Run as Administrator.
In QuickBooks, click File, then select Open or Restore Company.
Choose the option to Open a Company File and click Next.
Go to Network Places, then Entire Network, and find the folder where your company file is stored.
Select your company file and open it to re-establish the network connection.

Disclaimer: The information outlined above for “Understanding the Error Connection Has Been Lost in QuickBooks” is applicable to all supported versions, including QuickBooks Desktop Pro, Premier, Accountant, and Enterprise. It is designed to work with operating systems such as Windows 7, 10, and 11, as well as macOS.

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