This is due to one of the following two things...
1. The database being backed up does not reside on [this] computer. Only the host computer can designate where to back up. The solution is to go to the computer that hosts the data and perform the backup from there.
2. The ini file pointing to the database locally uses this computer's IP address to designate this machine rather than using the word Localhost. The use of the IP address in in the ini file to designate the machine that is hosting the data will cause the backup feature to wrongly [think] that you are not on the host machine when trying to backup.
It will only give you the ability to designate a custom location for the backup to go if it believes that you are on the machine that is hosting the data. The solution is to change the designation of SERVER in the ini file from this computer's IP address to the word Localhost.
You can find the Hrware.ini file at C:\ProgramData\Gradience.
However, if #2 above describes your situation but another user uses RDP (Remote Desktop) to remotely access your computer's desktop to launch the software and RDP fails unless the ini file is pointed to the IP Address, we can offer you another solution.
Create an extra line on the ini file pointing to the database so that instead of having just one you will have two. Then change the word Localhost on one of the lines to the IP address of this computer.
Then [comment-out] the one that designates this machine using the word Localhost by entering a semicolon as a prefix to the word SERVER and be sure to save the change. It will look like this when you are done...
The semicolon renders this line unreadable. This forces the other line to be read, allowing the other user at another computer to be able to remotely use Gradience via RDP.
When you are ready to back up the data from this computer, go back to the ini file and remove the semicolon from the line designating the Server as Localhost and place a semicolon on the line designating the server by the IP address and be sure to save the change. After backing up the data, return to the ini file and reverse the semicolons again and save the change.