QuickBooks Error H505 Explained: Causes and Working Fixes

If you are facing QuickBooks Error H505, this error indicates that you are facing some kind of interruption in the connection to the server.

Jun 26, 2025 - 17:27
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QuickBooks Error H505 Explained: Causes and Working Fixes

If you are facing QuickBooks Error H505, this error indicates that you are facing some kind of interruption in the connection to the server. This error is usually related to the H series and is caused by network problems when you’re trying to open the company file on the server. You will get this message pop-up to access the file: The error code reads, This company file is on another computer, and QuickBooks needs some assistance connecting.

Reasons that cause QuickBooks Error code H505

There are many reasons that cause QuickBooks error code H505. Here we are discussing some of the most common reasons.

  • Check if Windows Firewall or a third-party firewall blocks the connection between computers in the network.
  • If you are using the oldest version of QuickBooks. So I installed the latest updates.
  • Also, this error indicates when the server hosting the company file has an incorrect hosting setup of the QuickBooks application.
  • Damaged or corrupted network data files (.ND) that QuickBooks uses to establish connections with other computers in the network also cause this error.

Quick Steps to Fix QuickBooks Error Code H505

Solution 1: Create a New Company File folder

  • Find the company file folder that hosts the company file on your computer.
  • Create a new folder on the desktop and paste that company file into the new folder.
  • Next, right-click on the folder and select the Properties option.
  • Click the share tab and choose the advanced sharing option from the list.
  • Check the "Share this folder" checkbox and click on "Permissions."
  • Select the "Full Control" checkbox for every group option and click the "Apply" button and "OK."
  • Now try to open the company file again from the workstation to check if the error is resolved or not.

Solution 2: Configure your QuickBooks Hosting Services

Step 1: Verify hosting

  • First, you need to restart the software on both servers and run the application on both systems in multi-user mode.
  • Now go to the file menu and click on the Utility option.
  • Next, click on “Stop Hosting the Multi-User Access” or “Disable.”

Step 2: Verify QuickBooks Services

  • Open the run and type MSC and find out the Services.msc from the box.
  • Search and select the QuickBooksDBXX services.
  • Also, perform the startup in automatic mode.
  • Now click on the recovery option.
  • Once the process is finished, restart the QuickBooksDBXX service and repeat the process.
  • Now repeat the same process for the QBCFMonitorService.
  • Then run the solution in multi-user mode on each affected digital system.
  • Finally, locate the QuickBooksDBXX service that is a member of the Admin cluster and agree to the permissions in case of any issues.
  • Click on the port option, and then click Visit the next tab.
  • Ensure you select the right TCP option.
  • Click on Port and visit the Next tab.
  • Make sure to select the right TCP option.
  • Also, type the year and version port of QB Desktop.
  • Restart the QuickBooks desktop application.

Solution 3: Update QuickBooks application

  • First, you need to open the QuickBooks application and go to the Help menu and choose the option of About QuickBooks.
  • Some list is shown under the list; click on Update QuickBooks.
  • Click on the Update Now button.
  • The latest update installation process is starting.
  • After installation, restart your computer and try to open the company file again.

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ryanledger Hey there! I'm Ryan Ledger, a Certified QuickBooks Pro Advisor with plenty of experience troubleshooting all kinds of QuickBooks errors. If you're having trouble with QuickBooks not opening, don't hesitate to reach out or check out our website for support.