using sql server database on virtual dedicated server

I have installed sql server 2005 on my virtual dedicated server hosted with godaddy.

I keep getting the error below. I guess it is something to do with roles? I am a real newbie: I dont know what an application pool is...

What is the simplest way to fix this? I have searched this error and have come up with lots of stuff, but all very confusing... please help,

thanks,

Sam

Failed to generate a user instance of SQL Server due to failure in retrieving the user's local application data path. Please make sure the user has a local user profile on the computer. The connection will be closed.