I am not able to configure ssp on MOSS 2007 server.
I found that OFFICESERVERS service was not running.
I checked system event log I got this error:
The SQL Server (OFFICESERVERS) service terminated with service-specific error 17058 (0x42A2).
Which sql server do you use? if its 2005 try to look at this post - http://social.msdn.microsoft.com/Forums/en-US/sqldatabaseengine/thread/6b5b82e5-1346-4d59-86b0-7eaac7b930a7/