Hmmm!!
If I remember rightly (it's a long time since I set up my Squirrel) you need to boot from your hardrive and once your Amiga is up and running - then insert the floppy and run install script from floppy.
The floppy startup will overwrite some important assigns that Squirrel software is looking for which are setup by your hardrive normal startup.
Give it a try. You've got nothing to lose :idea:
Dave G 8-)