Though I have blogged about related topics before, this gets asked often enough it it worth a bit of overlap with previous posts. Infor CRM software (forermly Saleslogix) is designed to store almost everything in the database (usually a SQL database, though it also supports Oracle). The sync logs, however, and any documents attached to entities in CRM, are stored in a folder on the server.
The best practice for Infor CRM is to set up a SyncLogs folder somewhere on the web server, and create sub-folders for the Sales Library and Attachments, usually named Library and Documents. This is controlled in the Admin program, in the Offices tab of the Systems section. As you can see in the example below, Library and Documents are sub-folders of SyncLogs, even though Sync is not active on that system. These paths are merely convention. You may name and organize the folders differently if desired, just make sure all users of Infor CRM software have read and write access to those folders.