After starting the PC from the DiskPatch CD or floppy the main menu should be there in seconds. If things are slow after selecting the target location for the log files at least one of the disks in the system is in bad shape. You should act accordingly: create a disk health report and check that out (or have us check if you like), and/or clone that disk if one is indeed in bad shape.
If you have a USB key that is formatted as FAT or FAT32 it should be accepted as a target location for the log files. Depending on how that USB key is formatted and recognized by the PC it might show up as a C: volume, you should check to see if that is the case before allowing DiskPatch to save it's log files there. You can do so by checking it's contents after having started from the DiskPatch floppy/CD and selecting "Exit" from the main menu; you should now be shown a DOS prompt. Type "Dir x:" (where x is the drive you wish to check before saving log files to it) and see what comes up.
How to create a disk health report:http://www.diydatarecovery.nl/dp_manual/guide_smartcheck.htm