It's already a very old topic, but I am facing the same problem. I have no problems running LaunchBox from my local SSD, but when I try to start it from my mapped network share it hangs with the same error. So I was wondering where did you change these settings?
I am running a Synology NAS with a Shared Folder on which I have set the permission Read and Write to Everyone and I did the same for the 'NTFS' permissions for the LaunchBox folder on the share. Still no luck starting LaunchBox though. What did I do wrong?