For QuickBooks Desktop to function correctly in a network environment, Multi-User Hosting needs to be configured correctly on each computer on the network. The server or workstation hosting the company files must have the hosting service turned on, while every other workstation accessing the data must have it turned off. This configuration is handled initially by choosing the appropriate network options during the program installation, but can be modified at any time within the QuickBooks program installed on each workstation.
Occasionally, you may find that a workstation which has been set up to have hosting turned off has had the service activated, resulting in one or more errors. The immediate fix is to turn off hosting on that workstation, but it is important to understand what causes the hosting status to be changed and how to prevent this from happening accidentally.
On a workstation where company files are typically accessed over the network, opening a file stored on a local drive can have unintended consequences. The following screenshot shows the message that appears when opening a file this way: