Quickbooks performance

I have QB enterprise edition 2012 installed and a terminal server. The QB file is also located on that server and the databse manager.

I have two users that live in QB. They say that when more then on of them is on that the performance is misserable. Now its not the hardware the server its running on is a Windows 2008 term server with 14gb of ram. Now I am thinking that having the QB program and the database server running on the same peice of hardware might be the issue. Anyone else have any expereince with this?