parent directory of an existing folder

good morning all. when creating a new share this error message is kinda “common” with the odd brew of my system. I do understand what is happening, kinda, but not if it is actually a true problem.

Path to the folder on the local computer. Will be created if it does not exist. 
The tilde character (~) can be used as a shortcut for `/home/peter`.
Warning, this path is a parent directory of an existing folder "ISO" (3ymum-xi7xn).

Question: should I rethink it all and avoid this folder within a folder thing?

PS: I put 99% of my data on separate partitions/drives if that matters

thanks, Peter

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