activex document

I've converted an exsiting application to an Activex Document. The idea was to have an application that works on a local machine or over the Web. The application works fine in an development environment, but when I try to run it as a standalone I can't get the hyperlinks to work correctly. Its documented that you can use just the VBD (frmTest.vbd) name as the argument to the hyperlink, but it doesnt seem to work and I get an error message saying its an invalid hyperlink. If I include the full path it works in the development environment but has a problem as a standalone. Anyone been through this and/or know of a good book on the matter. On my other development machine at my clients I get a "file download" dialog box everytime I point the browser to a .vbd file or try to run the application in the development environment. Any idea whats causing this?