Can't import initial "default project from BB,sd, or downloaded file

It just keeps saying “location does not contain project file” and will not let me load project from beatbuddy with card, SD card, or Downloaded file HELP!

You are using File > Import Project. It wants the .BBS file (like a project shortcut).
In order to import content from the pedal SD card (or downloaded content), you need to use Import - Export > Import Project from Pedal.

If you save the project afterwards (File > Save Project), the necessary .BBS shortcut will be created for you so you can switch between different project swiftly.