Restrict Folder Size - Windows Server

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I have a Windows Server 2003, which acts as a file sharing server for all the users in my office. I need to create a restriction over share folders of each user to use maximum 10Mb space. That is each user has a threshold space of 10Mb with them.

I googled it, and got a solution to use File Server Resource Manager tool. Which says:

On W2K8 R2, you will need to set size using quotas. To do this, go to Administrative tools and select the File Server Resource manager FSRM, create quota templates and apply to folder/share.

but the problem is that it restricts over the complete folder not individual folder. I read this:

When you create a quota on a volume or a folder, you can base the quota on a quota template or use custom properties. We recommend that, whenever possible, you base a quota on a quota template. A quota template can be reused for creating additional quotas and simplifies ongoing quota maintenance.

Now, I want to have a restriction over each folder not a complete bunch of folder.

Ex: \\MyServer2003\backup\Users

Each folder in \Users\ should be restricted to 10Mb each. Not like complete \Users is having a space limit of 100Mb and every one is sharing that 100Mb within themselves.

How can I do it.? Do I need to write a Windows Service for it, which will keep an eye on the folders.?

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Chelseawillrecover On BEST ANSWER

To work around this while using the File Server Resource Manager, you need to apply Auto apply template and create quotas on exisiting and new subfolders option but the only limitation to this is that you don't have the 10MB limit option.

So to fix that, select "Create quota on path", then click "Define custom quota properties" and click on Custom Properties. Where you have space limit, enter 10MB. Note that I am applying this on a Temp folder which I am using for the template. enter image description here

After creating that, you go back to Creating a new Quota, this time, select Auto apply template and create quotas on exisiting and new subfolders, Under Derive properties from this quota properties, click the dropdown and select your 10MB quota you earlier created enter image description here

As you can see now I am applying this on the Users folder

After you have created this, you should have something like this. As seen I have 2 subfolders A & B and I have put in large files in both folders which is now showing the % used and the overall folder Users is not limited.

enter image description here

Hope this makes sense :)