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How to Ensure Optimal Security of Your QuickBooks Data

All data stored on QuickBooks is Personally Identifiable Information (PII), which is critical, sensitive and confidential. You may never want to lose this data, neither you may want that your QuickBooks data is ever exposed to an unwanted person.

There are several mechanisms and ways that you can adopt to secure your QuickBooks data. Major factors on which QuickBooks data security depends is which version of QuickBooks you use and where your QuickBooks files are stored.

We already know that there are two versions of QuickBooks:

  1. QuickBooks Online
  2. QuickBooks Desktop

You can use QuickBooks Desktop by installing it on your workstation or by hosting it in a cloud.

QuickBooks Desktop hosting simply means to installing QuickBooks files on a remote server and then access QuickBooks anytime, anywhere and on any device.

In this blog post, we will understand how data security differs on how we use QuickBooks. We will also look at the best option that ensures optimal and high-end data security.

QuickBooks Online

Intuit claims that QuickBooks Online version is the most secure and reliable version of QuickBooks.

However, let’s have a fact check on Intuit’s claim. We will do a fact check based on few metrics formulated by renowned CPAs and data security experts.

These metrics largely include:

  1. Intuit’s data backup mechanism
  2. Duration of the QuickBooks data backup or data archival strategy
  3. Users’ control over data and more.

Data Backup

Intuit claims that with QuickBooks Online your data is always safe. One of the major reasons behind Intuit’s claim is hourly data backup. You can see the below prompt, in which it is written that QuickBooks Online provides hourly automatic data backup.

This is in fact, one of the single factors that ensures high QuickBooks data security in QuickBooks Online.

Otherwise, on other metrics, QuickBooks Online fails to prove the high-end data security mechanism.

User Control Over Data

Once you import data to QuickBooks Online, you no longer have any control over your QuickBooks data. You will be totally dependent on Intuit for data security and data backup.

As users don’t have control over their own QuickBooks data, considering QuickBooks Online cannot be safe or the most perfect way of using QuickBooks.

Data Archival Duration

Usually, Intuit keeps two copies of your data in QuickBooks Online. However, it is not clear that for how long QuickBooks data is archived.

Just in case, if any QuickBooks Online user wants to use old QuickBooks data, then it is unclear that if Intuit will be able to restore it or not.

This is in fact, one of the most significant worries faced by QuickBooks Online users.

Loss of Specific QuickBooks Data

If you want to update QuickBooks to the most recent editions, then it isn’t advisable to use QuickBooks Online.

Even Intuit agrees that users often complains of data loss after upgrading to QuickBooks 2014 or older versions.

The primary reason behind QuickBooks data loss after an update is that many a time, Intuit removes or adds some QuickBooks features.


If QuickBooks data security is your major concern, then using QuickBooks Online version can be a risky affair.

Hourly data backup and easy recovery are few positive reasons to select QuickBooks Online, but still there are several other reasons, due to which it is wise to also look at other options as well.

QuickBooks Desktop

If mobility and easy accessibility to QuickBooks are not your concerns, then using QuickBooks Desktop is the most economical option.

QuickBooks Desktop consists of several features, such as Customer Credit Card Information Protection and Personally Identifiable Information (PII) that guarantees data security to some extent.

However, in case if your system where all QuickBooks data are stored crashes then there is always a risk of losing everything in QuickBooks.

If you haven’t backed-up your QuickBooks data and your system crashes, there is no process or mechanism to recover your data on QuickBooks Desktop. And, therefore, maximum users consider using QuickBooks Desktop by getting it hosted in a cloud environment.

QuickBooks hosting doesn’t merely guarantee optimal QuickBooks data protection, but it also provides a gamut of other advantages as well, such as mobility, 24/7 tech support, speed and lot more.

There are two options to host QuickBooks in a cloud. The first option is in-house QuickBooks hosting and the second option is to host it in Virtual Private Server (VPS) or in a public cloud with a support of a cloud hosting provider.

Well, features of in-house QuickBooks hosting and QuickBooks hosting in a cloud is more or less similar.

However, when it comes to QuickBooks data security, then there are few notable points that you need to know.

Let’s look at these two QuickBooks hosting options on by one.

Before we proceed to different types of QuickBooks hosting, it is important to know that any wrong decision taken by selecting the hosting options or a server type can be catastrophic. Therefore, to avoid any mishap please do consult a cloud technology expert.

QuickBooks Hosting (In-house)

If you decide to go for in-house QuickBooks hosting, then you have to install a massive server inside a company’s premise.

Having an in-house server for QuickBooks hosting provides complete security to QuickBooks data. However, this option isn’t much feasible for SMBs.

For in-house installation and maintenance of a server, you may need to pay a hefty amount. There are several other IT upfront costs as well that you may have to make for in-house QuickBooks hosting.

In few situations, in-house QuickBooks hosting is not considered safe and secure.

Just suppose what will you do when there is any technical glitch in a server or there is any natural disaster causing loss to your company’s infrastructure?

In such situations, it may become really difficult and time-consuming to retrieve lost data and information.

Therefore, if you are ready to make a heavy investment for QuickBooks hosting on premises and are willing to compromise QuickBooks data security, then only go for in-house QuickBooks hosting.

Now, let’s check how QuickBooks hosting in a cloud assures optimal QuickBooks data security.

QuickBooks Hosting: The Most Substantial Solution

One of the most trusted and proven solutions that assures the security of financial data is to get QuickBooks hosted in a cloud.

If you are using any of the QuickBooks Desktop products, such as QuickBooks Enterprise or QuickBooks Premier or Pro, you can get it hosted in a cloud.

QuickBooks hosted in a cloud always secures your QuickBooks data from unauthorized access, malicious virus, and other hazardous elements.

There are multiple reasons due to which QuickBooks hosting is considered the best way to assure data protection. Let’s look at a few reasons.

Choosing the Right Server Type for Hosting Your QuickBooks

If you decide to host QuickBooks on cloud, then a hosting provider will give you options to select from different types of servers, such as Dedicated and Shared server.

State-of-the-art Data Centers

When you host QuickBooks in a cloud with a reputed QuickBooks hosting provider, then your data is always stored in the state-of-the-art data centers.

The avant-garde data centers have at least Tier II security compliance and they meet all the standards, such as SOC 2 and SSAE compliant to deliver uncompromised data security.

Periodic Data Backup

In any incident of data loss or theft, you first look to recover the lost data. QuickBooks hosting providers normally provide data back every 24 hours for QuickBooks files and important data in a three tiered architecture where data is stored in three separate locations for maximum safety.

24/7 Technical Support

After effort your data may still be prone to new cyber threats, such as recent Ransomware attack. During any type of such new attacks, the existing system may fail and you may need an immediate support.

If you get QuickBooks hosting services, then you can easily get round the clock support during any technical glitch, data breach or any other type of problems in accessing QuickBooks files.

The Way Forward

You should never compromise when it comes to QuickBooks data security. If there is any incident of data loss or theft, then it can have a long term effect on your business and brand reputation.

However, it is understandable that for small and medium sized businesses, it is not an easy task to always assure optimal QuickBooks data security.

And, therefore, it is advisable to hire a QuickBooks hosting provider and get more than data security, such as reduced IT upfront cost, speed, mobility and flexibility.

To get the most advanced mechanism for QuickBooks data protection, contact us right now. Our QuickBooks hosting guarantees uncompromised data security, lightning fast access to your QuickBooks files and more.


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