Absolute beginner question...

Question

I have SQL Server 2005 on Windows XP SP2 - I'm trying to write a simple app in VB that will read and write just text from a simple SQL database - my problem is, it just won't connect. I know I have SQL Server 2005 installed, but I just have no idea how to make an actual connection or create a new database - I say '(local)', localhost, but it doesn't matter - it always just saying ' to SQL host'. How do I actually create a running SQL server on my computer? I can't hook one up online, I just want to use it as a data source, it's so frustrating...I can even see the sqlservr.exe process in task manager...