Installation of the NotifyLink SQL Database component (version 4.6.0) fails when the machine you are running the installer on is Windows Server 2000 and accessing SQL Server 2008. The machine fails to connect to the Microsoft SQL Server.
Solution:
The SQL Tools need to be installed on the Windows 2000 machine in order for it to connect to the SQL 2008 server.
See also Windows Server 2008 Issues and Workarounds