Windows Server System State or Windows System Backup won’t work
These backup types are Microsoft proprietary backups and can be problematic for a wide variety of reasons. Commonly, users make the mistake of ‘spooling’ to a drive which is one of the drives also selected for backup; or the user attempts to use a non-permanent drive (eg: portable USB). We make better recommendations here: https://support.magnusbox.com/article/353-windows-system-backup
If the above guide does not resolve the problem, consider switching to the Magnus Box Disk Image backup type, which was designed to circumvent these problems: https://support.magnusbox.com/article/362-disk-image-walkthrough