A work around for this is after double clicking on the installation file X12-30283.exe and the MS Office Installation page displays, navigate to the temp folder where the files were extracted such as c:\users\%username%\appdata\local\temp\OWP56C8.tmp and copy the entire folder to the desktop. 

Close the installation and then re-launch by opening the folder on your desktop and double clicking on setup.exe

***This document assumes you are using Windows 7 operating system and installing MS Office Small Business 2007 from the downloadable installation package