[ubuntu] usb creator liveusb onto a USB harddrive partition?

I took a USB IDE hard drive and partitioned out a 20gb section formatted to fat32.

Then ran usb creator and it loaded onto the partition ok.

However, it does not boot, it tries, the light flashes on the drive, the monitor just blinks a cursor.

Should it work?
2nd shows gparted of the hard drive

I had to lower the persistance down to 3.5gb or usb creator gave checksum errors.

Attached Images

	startupdisk.png (62.8 KB)
	Screenshot from 2012-12-17 20:24:06.png (41.9 KB)