If the Quote button is grayed out, it usually means that ACT! can't connect to Microsoft Excel (the quote template has an embedded Excel sheet) or Microsoft Word, or both. Make sure these are installed and are supported versions for you version of ACT!. ACT! versions 2005-2007 work with Office 2000-2003 and ACT! versions 2008-2009 work with Office 2002-2007. See if the Export To Excel button is active from the toolbar in the Contact List view...this should tell you if ACT! is connected to Excel or not.
Note: Effective 6/1/13, Sage no longers provides support for the Act! software. This is now provided by Swiftpage.