Ads keep us online. Without them, we wouldn't exist. We don't have
paywalls or sell mods - we never will. But every month we have large bills
and running ads is our only way to cover them. Please consider unblocking us. Thank you from GameBanana <3
You need to install and run Source SDK. This is to create numerous .DLL's that are necessary, as well as the actual StudioCompiler. Remember, Cannonfodder's StudioCompiler is just a GUI. After you run Source SDK it should work.
In order to make PHY files, decompile the models with StudioCompiler (The working version can be downloaded here : http://www.ecct2.com/files/StudioCompiler.exe) then edit the values under the phys constraints and recompile and only keep the PHY files. To get the models download GCFScape and open counter-strike source shared, go to the models/player and copy all the folders... The tutorial is on the site but that's just the basics.