Internet Information Services (IIS) includes an FTP component which can be used to transfer files. If you have multiple FTP users and wish to isolate them from each other you can use FTP Isolation to accomplish this goal. This can be used if you are hosting multiple web sites and only want the FTP user to have access to their WWW root directory.
There are two modes that the IIS FTP Service can run in, normal mode and isolation mode. The first step, after installing the FTP service, is to delete the Default FTP Site.

Next we will create a new FTP Site. Right-click on the FTP Sites node in the IIS Manager MMC and select New --> FTP Site.

The FTP Site Creation Wizard will start up, click Next to proceed. Enter a description for the site and click Next.

Assign an IP, or used All Unassinged, and set the port. The default FTP port is 21.

The next screen is where the fun begins. Here we are given three choices, Do not isolate users, Isolate users and Isolate users using Active Directory.
Do not isolate users - in this mode, users are free to browse through the FTP tree. This can be managed with NTFS permissions but will be a management nightmare if you have a lot of FTP users.
Isolate users - in this mode users are isolated based on the folder structure in the FTPRoot directory.
Isolate users using Active Directory - in this mode users are isolated based on the "FTP Home Directory" attribute in Active Directory. There are benefits to this (if you are using AD) in that new users can be added quickly and easily. The downside is that the FTP Home Directory isn't configured via AD Users and Computers snap-in. Instead you have to set two enviromental variables, %ftproot% and %ftpdir. This can be done with a VBS script called IISFTP.vbs.
You, must have the proper folder structure in place for the user to "find" their directory. The folder structure is shown in this screenshot.

Even if you are using Active Directory, I find the Isolate users option is the easiest to manage and maintain unless
ALL users require FTP access. Select that option and click Next.

Enter the path to the Directory which will hold all the user directories.

Set the permissions to Read and Write. These permissions apply to the users FTP directory.

Finish the wizard and you are ready to go. Create sub-directories under the FTPRoot directory for each user and name the folder with the same name the user logs in with.
i.e. Username: FFlintstone Foldername: FFlintstone
Log in and you will be placed into your isolated FTP directory.

Fore more information see:
Iisftp.vbs: IIS FTP Site Management Script