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QuickBooks Condense Data: How To Use It To Reduce Data Size?

When the company’s data size grows, it affects the performance of the accounting software. QuickBooks Condense Data reduces the file size and increases productivity. As the files contain important information related to business, there is a need to optimize these with time. Most businesses depend on QuickBooks(QB) to manage daily accounting activities. 

That’s why it is essential to use the condensed data tool effectively. While reducing the data size, there are higher chances of getting common errors. To ensure you continue getting high performance, you must know how to resolve QB condense data errors. This post will tell you how to use a condensed data tool and resolve errors associated with it.

What Is QuickBooks Condense Data?

QB condense data is creating a copy of the data file. It is a popular way to reduce the data size, which results in better QuickBooks software performance. With the tool’s help, you optimize the company’s data and store it in another folder. As the data file may affect the performance of QuickBooks, it is recommended to use proper steps.

Issues Users Face During QB Condense Data

The process of condensing data in QuickBooks is not as easy as it seems. Most of the time, the condensation process fails. Here is the list of issues users face while reducing data size in QB:

  • Damage to company files due to data loss.
  • A corrupt QB data file in the directory.
  • Error in updating condense data utility.
  • Insufficient storage is required by data utility tools.
  • Incorrect location of company’s file.
  • System error during the data archive process.

How To Condense Data In QuickBooks?

QuickBooks allows its users to condense data by using simple steps. Here are the steps to condense data in QuickBooks:

  • Firstly, log in to your QuickBooks account.
  • After that, tap on the File from the top menu bar.
  • Now, select the Utilities> Condense Data Command option.
  • Next, choose the transaction before a specific date.
  • Then, click the Next button.
  • Review the data you wish to condense. Tap on the Next button.
  • After that, select the transactions you want to remove from the data.
  • Check the data details once again and click the Confirm button.
  • Next, navigate the condense field and tap the Begin to condense button.
  • Finally, take the backup of the data file at the desktop location.

Read more:- 7 Ways To Fix The QuickBooks Error 6190 In Desktop & Online Tool

Use The Condense Data Utility Tool

The utility tool allows you to condense data in QuickBooks. It streamlines the data file in the right order. To know how to use this tool, go through the steps mentioned below:

  • First of all, log in to your QuickBooks online account.
  • Then, tap on the File menu on the top bar.
  • After that, select the Utilities> Condense Data option.
  • Select Keep all transactions, but remove the audit trial info to date option.


  • Click on the Next button.
  • Finally, you will receive the message of the successful condensation process.

Run The Utility Report

To run the report in the utility tool, follow the steps below:

  • Go to the File menu and select the Utilities option.
  • After that, choose the Condense Data option.


  • Now, select Transactions before a specific date from the window wizard.
  • Next, enter the Date for which you want to run a report.
  • Then, checkmark the box that states: Create a report showing which transactions cannot be removed.
  • After that, click the Next button.
  • Next, select the Summarize Inventory Transactions option.
  • Then, tap on the Next button.
  • Now, select the Transactions Group you wish to remove.
  • Choose the Begin Condense option.
  • To bring the invoice to the screen, click the Link on the screen.
  • After that, choose the Apply Credits option.
  • In the end, click the Save and Close button.

Prepare A Company File 

To prepare a company file in the condensed data utility tool, follow these steps:

  • Firstly, log in to your QuickBooks account.
  • After that, go to the Edit menu.
  • Now, select the Preferences option.
  • Next, choose Accounting and navigate to the Company Preferences tab.
  • Then, select the Set Date/Password option.
  • Click on the OK button.
  • Now, run the Profit and Loss report before adding the dates.
  • Next, check the Balance Sheet for all transactions.
  • Verify the Data Utilities to check for further damage.
  • In the end, copy your company file and take a backup at a secure location.

How To Resolve QuickBooks Condense Data Error?

Getting errors during the condensed data process is common. QuickBooks condense data error occurs when you try to condense large data files. The big file size starts affecting the performance of QB online. You can easily resolve the QB data error by following the right process. QuickBooks-condense-data-error

Different Types Of QB Condense Data Errors

There are different QB condensed data errors you may encounter during the process. Here is the list of errors for your knowledge:
  • QB data error 8007000e
  • System error: QuickBooks is unable to condense your data file.
  • Illegal data operation error.
  • Error in the middle of the data condenses process.
  • Error in cleaning up company files.

Methods To Resolve QB Condense Data Errors

You can easily fix the data condense error in QuickBooks by different methods. 

Method 1: Delete Negative Entries

One method to fix QuickBooks data condense errors is to delete negative entries. To perform the process, follow the steps below:
  • First of all, Open a QuickBooks account.
  • Now, select the Reports option from the menu bar.
  • After that, click on Inventory and select Inventory Valuation detail.
  • Next, click on Dates and select the All option.
  • Review all the details of a negative item in the column.
  • In the end, Delete the negative entries of the report.

Method 2: Use The QuickBooks File Repair Tool

Another method to fix QB condenses data errors is using a file repair tool. It is an online repair tool to detect and fix various file errors. To use the repair file tool, go through the steps given below:
  • First of all, Download and Install the QuickBooks file repair tool.
  • After that, click the Select File button.
  • Now, choose the Scan File button for scanning errors.
  • Next, navigate to the Company Name to see the information.
  • Then, click on the Customer name to see the customer’s details.
  • After that, click the Repair button.
  • Next, select the version of QuickBooks software and click on the Start button.
  • Wait for 15-20 minutes to let the repair process complete.
  • Finally, click the OK button.

Method 3: Rename The QBWIN.Log File

You can rename the QBWIN.LOG files to fix corrupt data. To rename the file, follow the steps below:
  • First of all, open the C: drive of your desktop.
  • After that, locate the folder of QuickBooks.
  • Now, open the folder which contains the QBWIN.LOG file.
  • Next, right-click on the file and select the Rename option.
  • Add .OLD at the end of this file name.
  • Finally, click the Save button.


QuickBooks Condense Data is the feature that allows users to reduce file size. You can easily condense data from company files by following the step-by-step process. Throughout the QB condensing process, getting errors is common. That’s why we include simple methods to fix these errors. Moreover, you can call our experts anytime if you face any other issues throughout the process. MWJ Consultancy provides 24/7 expert assistance in resolving various accounting software errors and issues. Our certified technicians offer assistance in QuickBooks, Quicken, Sage, Xero, TurboTax, TurboCash, etc. To know more, contact us now.

Frequently Asked Questions

During the process of data condensing in QuickBooks, the size of company files decreases. It removes the old list entries and transactions. As a result, data is available in a smaller size, which enhances QB performance.

The approximate total time of the QB condenses data process is one hour. The time may increase, which directly depends on the total size of the company’s data.

To condense data in QB online, go through the steps given below:

  • Firstly, log in to QuickBooks online.
  • Go to the File menu.
  • Select Utilities and then Condense data option.
  • Select Files and Transactions you wish to condense.
  • In the end, click the OK button.

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