Cannot open backup device operating system error 3 system cannot find path specified

“Error: Object dbName failed in event OnBackup. For more information, see the error log
located in the backup directory.
SqlException: Cannot open backup device ‘Folder\folder\folder.bak’. Operating system error 3(The system cannot find the path specified.).
BACKUP DATABASE is terminating abnormally……Deleting the file “somethin.xml” and replacing it.”
The command i used was -

stsadm.exe -o backup -directory “C:\SPBackup” -backupmethod full -overwrite -item databasename

The issue here is that the directory path I used “C:\SPBackup” it should be a <UNC path or local drive> .. ya i know that was the mistake .. you found it!

But wait there is more …

Since you need the UNC path to your backup drive you need to Share your folder where your want to keep your backups.  Also while sharing add the SQLService account as Co-owner to the shared folder.