You should check your computer for viruses/malware. Error messages from Sage that say it is looking for a file in the wrong location can be a symptom of an infection.

I did a full scan of the pc, no virus or malware was detected.

I had a virus and my scan did not detect it either.  You may try  Norton Power Eraser.

MalwareBytes is also a very good option for cleaning up things that slip past anti-virus.

MalwareBytes is also a very good option for cleaning up things that slip past anti-virus.

Thank you for your suggestions. Though is it possible that it's just a settings error with a little troubleshooting can be fixed? It is quite hard for me to acquire anti virus software like that at an urgent pace.

I think Norton Power Eraser is a free download and you can use a free trial of MalwareBytes to do a one time cleanup.

You said that your company files are located in K:\Company\hhm. So go to the File menu and choose Open Company. Look in the Directories section of the Open Company window. "K:\ " should show as an open folder. "Company" should also show as an open folder. "hhm" and any other folders that you can see should be closed. If that describes what you see, then the data path is set correctly in your INI file.

You should also try opening one of the sample companies, such as Bellwether Garden Supply, and try to print a check, or anything else that gives an error in your company. If you get the same error, then the problem is very likely virus related. If you don't get the error then the problem could be related to a damaged file in your company. In that case you can try following these steps from the knowledgebase.

MAKE A BACKUP BEFORE STARTING THIS PROCEDURE!

Section I: Damaged Files in Company Directory

1. Close Sage 50 Accounting—U.S. Edition on all computers
2. Open Computer
3. Browse to the company's directory; see Article 10199, "How to locate company directories"
4. Delete the following files:
   
   Note: Delete only the listed files; if unsure, contact Sage Support at 866-747-3888 before continuing
   • All files with the extension .bak
   • All files with the extension .frm
   • All files with the extension .rpt
   • All files with the extension .ptr
   • All files with the extension .ddf
   • All files with the extension .lck
   • All files with the extension .ptl
   • ~pvsw~.loc
   • AdvData.dat
   • AdvHist.dat
   • Aflocat.dat
   • Alarm.dat
   • Alert.dat
   • Apiaccss.dat
   • Atmntbdl.dat
   • Attchmnt.dat
   • Audittr.dat
   • Avgdtpay.dat
   • Cashflow.dat
   • Connco.dat
   • Cosess.dat
   • Evntcls.dat
   • Forecast.dat
   • Foredetl.dat
   • GLCoat.dat
   • Grpdata.dat
   • Jrnlcls.dat
   • Options.dat
   • PEPUsage.dat
   • Rptfilts.dat
   • Rstydef.dat
   • Rstyle.dat
   • Statcode.dat
   • Stathist.dat
   • Statnote.dat
   • Storetrx.dat
   • Stxhdr.dat
   • Stxrow.dat
   • Userpref.dat
5. Close Computer
6. Reopen Sage 50 and the company
7. Click Yes on each prompt to recreate a file
8. Verify the error no longer occurs; if it does, continue to the next Section