Am I missing something with the models?

What are you trying to do?
Initial install and run of StableDAW, getting this error in the terminal:
INFO: Waiting for application startup.
Default generation model 'small' failed to load at startup: 400: Model 'small' is not downloaded. In the Pinokio launcher, use 'Download Medium Model' / 'Download Medium-RF' — or select 'Small (ARC)', which is installed by default. — server is running; /api/health and /api/studio/* still work; generation endpoints return 503 until a model is manually loaded.

Selected model Small (ARC) from dropdown, create button shows failed after writing prompt and clicking.

What have you tried?
Just to debug (I know these larger models wouldn't run on my laptop) the "In the Pinokio launcher, use 'Download Medium Model' / 'Download Medium-RF" and am getting this Bluescreen:

Microsoft Windows [Version 10.0.26200.8457]
(c) Microsoft Corporation. All rights reserved.

C:\pinokio\api\stabledaw.pinokio.git>conda_hook & conda deactivate & conda deactivate & conda deactivate & conda activate base && hf download cocktailpeanut/stable-audio-3-medium --local-dir models/stable-audio-3-medium && dir
Traceback (most recent call last):
File "C:\pinokio\bin\miniconda\Scripts\hf-script.py", line 5, in
from huggingface_hub.cli.hf import main
File "C:\pinokio\bin\miniconda\lib\site-packages\huggingface_hub\cli\hf.py", line 16, in
from huggingface_hub.cli._cli_utils import check_cli_update, typer_factory
File "C:\pinokio\bin\miniconda\lib\site-packages\huggingface_hub\cli_cli_utils.py", line 23, in
import click
ModuleNotFoundError: No module named 'click'

(base) C:\pinokio\api\stabledaw.pinokio.git>

Your system (OS / GPU / RAM / VRAM / etc.)
Win11

12th Gen Intel(R) Core(TM) i5-12500H (3.10 GHz)
RAM 16.0 GB (15.7 GB usable)
NVIDIA GeForce RTX 3050 Ti Laptop GPU (4 GB)

I thought the Small model was included in the pinokio launcher, but not sure if I'm doing this wrong or what....any help appreciated.