Not that this is your specific issue but after hours and hours of reading and reading and reading I found a lot of these issues come from a setting with the provider itself.

On sql server in server objects drill down to your specific provider and right click on it and select 'properties'. In your case the provider name is 'IMBDASQL'.

Once the properties are open make sure you check the box next to "Allow Inprocess" then select ok. Should work now