Hi Bryan and Zach, thanks for the answers and sorry for not getting back to you sooner. I was away on vacation.
I'm sure I clicked on the Failed link and the reason given was generic and didn't help me.
When I set up the synch connection it has a Test button, and clicking that says the connection was good.
Then I thought that maybe I needed to have sites with the same name and codename set up on each server, so I thought I would export our initial test/dev site and import it to my local development set up. However, I've just tried to export, but now I get an access denied error.
Access to the path 'E:\dev\scg-kentico-dev\Kentico82\CMS\App_Data\Persistent\newsitewizard_4421f2a2-9ebb-416b-9d35-ec357c06144e_settings_log.dat' is denied.
Do I have to get sites set up in a specific way on both servers before I can do a synch?