Create the ALM Server Directory
It is recommended to create a dedicated directory that contains the ALM binaries, the ALM license file, and all other ALM-related files, like the log file. It is also recommended to create this directory in local storage on the license server machine, so that the machine can serve licenses without having to mount anything over the network.
ALM can also run from within a network share, but doing so creates multiple dependencies (share server, network connection, etc.) that can reduce the availability of the license server.