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This Error message will show if you don't have Hyper-V role enabled on your Vembu BDR server machine and it is not specific to the free edition of Vembu BDR.

Quick VM Recovery allows you to boot the backup data as a virtual machine on the Hyper-V, KVM or VMware ESXi directly from the backup storage repository. So, to instantly boot the VM in Hyper-V, the Hyper-V role should be enabled in the machine where you have installed the BDR backup server. Also, if you would have installed the BDR backup server on the Ubuntu machine, you need to install the KVM to perform the Quick VM Recovery. If you are planning to use ESXi host for Quick VM Boot, you can instantly boot the backed up VM directly to any ESXi host over the LAN.

The concept behind the Quick VM Recovery is, Vembu reads the backup data from storage target and creates VMDK, VHD, VHDX and IMG files virtually on the VembuVirtualDrive of your BDR backup server. If you have enabled Hyper-V role your Vembu BDR Server machine, it can be used to create a Virtual Machine by reading the virtual disk files(VHD or VHDX) from VembuVirtualDrive.

Since you have installed Vembu BDR Server on a Virtual Machine, Hyper-V role cannot be enabled on it.

If you have installed Vembu BDR server on a Physical windows machine, you can enable Hyper-V role on it and this can be used by Vembu BDR Server to instantly create a Virtual machine during a system crash or disaster.

However, you can still make use of Nested Virtualization to enable Hyper-V role on the Virtual machine where you have installed Vembu BDR Server or you can perform the Quick VM recovery on your VMware ESXi if you have in your environment.

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