How to Install QuickBooks Database Server Manager

In this article we will teach you how to correctly set up and Install QuickBooks Database Server Manager for your QuickBooks that you are willing to use on Multi-User Mode.

Note- In order to meet the minimum system requirements to Install QuickBooks Database Server Manager and achieve the best file performance on Multi-user network Install QuickBooks Database Server Manager on the system where the company file is stored and you want to make it a server host computer.

Install QuickBooks Database Server Manager


Knowing About How To Install QuickBooks Database Server Manager


  • QBDBSM or QuickBooks Database Server Manager is a tool that  creates .ND files which are network distributor files that are responsible for sharing data in a multi-user environment.Usually this tool shall be installed in Host computer and in case multiple versions of QuickBooks are being used then one should install Database manager for each version that is being used.
  • Installing more than one version of QBDBSM will only once the number of processes but not the Multiple software version.
  • In make you are using More than one version of QuickBooks make sure that you install this too in a chronological order to avoid errors.
  • If you are trying to load the QBDBSM for each year then you should make sure that each years service is also running in the background.
  • Each Version of QBDBSM will increase the number of user for each version of QuickBooks.


How to Install QuickBooks Database Server Manager


  •  To start the installation wizard apply double click on the installer exe.
  • If you have a working internet connection in order to download any possible update then you should click NEXT. If you don’t have internet then select option ‘NO’ and then click on next.
  • Now you will be displayed terms and conditions of software that you must rea and if you agree with them and want to install the software . Select option “ I accept the terms in the license agreement” and then click on next.
  • Choose “ Custom or Network Option”.
  • Now you need to select which installation type suits you the best-
  • Option1- I’ll be using QuickBooks on this computer= If you are going to use QuickBooks in this computer select this
  • Option 2- I will not be using QuickBooks on this computer= If you are just willing to save QB data on this computer.


Note- You will not be asked to enter the license number if you select “I will not use QuickBooks on this Computer”.


  • Click on “Yes,Allow Access”
  • Now you will have to enter the License/Product Number correctly.
  • Simply keep following the on-screen instructions that will be provided to complete the installation process.
  • Now as you are done with the installation you can now set up your Database Server Manager for QuickBooks.

How to Update QuickBooks Database Server Manager

In a long term use of QuickBooks there will be a time where you will be required to update your QuickBooks Database manager. This could be because-

  1. You have installed an updated version of QuickBooks.
  2. Any critical update has been released for current version for Bug Fixes.


  • Download the latest patch available as QuickBooks Update.
  • Install the latest patch that you downloaded.
  • Make sure that you reboot the server after patch installation is complete.
  • You will get a message once you have upgraded the server which will be “ The Company File Needs To Be Updated To Work With This Version Of QuickBooks Desktop”.
  • Now you will be prompted to make a backup copy of your file which is very important as updates also change the data structure.
  • Now  after you have created the backup keep following the prompts and you will be able to use file.

How to Set Up QuickBooks Database Server Manager

QuickBooks Database Server manager can be used for-

  1. Scanning the Company file folder in order to use it in Multi-User environment.
  2. Monitoring the Local Drives to Get configuration done for new company files.

Configuration for Database services

  • Open start menu and search for Services.
  • Find and open services and then Locate “QuickBooksDBXX and then apply double click on it to open the service.
  • If you find that the services are started then click on stop.
  • Now move to the General tab and then you need to switch the startup type from Manual to automatic.
  • Now move to log on tab and then toggle the radio type button from This account to the Local system account.
  • On recovery tab select option Restart the service from the dropdown menu of First failure/second failure/Subsequent failure.
  • Now again move to general tab and simply start the services again.


Launch the Database Service Manager for QuickBooks

  • Open Windows start menu and then click on programs.
  • Choose QuickBooks and then click on QuickBooks Database Service Manager.


Scan  Folder/Feature

In order to allow a proper access to other users on QuickBooks Multi-User environment one needs to Scan the company file that is stored on network in order to ensure that all configurations are correct.

  • Open windows start menu and click on programs.
  • Choose QuickBooks and then select QuickBooks Database Server Manager.
  • Click on “Scan Folder” and browse the folder containing the company file.  If you don’t know where company file is the choose scan all drive option.
  • Click on Scan.


Once the scan process is completed the company file will be ready to be used in multi-user.

Monitored Drives

This feature is to be used in order to keep Database Server manager up-to date with modifications applied to company file and to add a new company file.


  • Open the windows start menu and click on programs.
  • Choose QuickBooks and then QBDBSM
  • Choose monitored Drive and follow by selecting every drive you want to be monitored.


Database Server

QuickBooks Database Manager should be launched to determine-

  • Company file connected to the QuickBooks server.
  • Number of User logged into each company file as a list format.
  • QBDBSM service status.



This feature is added so that users can download updates for server manager and also for knowing the version of server being used.

  • Open windows start menu and click on programs. 
  • Click on Quickbooks and select QuickBooks Database Service Manager.
  • Click on Updates and then keep following the on screen prompts to install latest updates.



This feature is to be used in order to find the details about the server computer that has Database server.


  • Open windows start menu and then click on programs.
  • Click on QuickBooks and select QuickBooks Database manager.
  • Choose System and then you can review the needed information about Server Computer.

In case you experience following these troubleshooting steps you can any time contact the QuickBooks Support team

QuickBooks Technical Support phone number 1-800-416-8574


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