If your Microsoft IIS web server and your Microsoft SQL Server are running on the same machine, do the following to enable your applications to connect to Microsoft SQL Server.
Step 1: Determine the Windows user ID that is used by ASP.NET applications by checking the machine.config file. By default, this user ID is “<local machine>\ASPNET”.
Step 2: Create an account for the user in Microsoft SQL Server
Use Enterprise Manager --> Database server --> Security --> Logins
If you have not changed the default ASP.NET user, add a <local machine>\ASPNET login. If you have changed the default ASP.NET user to a user other than ASPNET, add a login for that user.
Step 3: Grant db_owner rights to this user on any databases you plan to reference. This will allow Iron Speed Designer to create stored procedures in those databases.
You should now be able to connect from Iron Speed Designer to Microsoft SQL Server using Windows Authentication.
Configuring Database Authentication for Microsoft SQL Server Applications