Hello everyone!
I'm answering my own question here for any of you that had problems. Before installing Inline.pm on a win32 machine, go to your (assuming you have Visual Studio .NET, but it will likely be on any Visual C++ compiler) C:\some dir\Microsoft Visual Studio .NET\Vc7\bin directory, then run vcvars32.bat. This will setup all of your environment variables for Visuall C++'s compiler so that you don't have to do it manually. Apparently I had left something out, now its fixed and running though!
Good Luck Inlining!