This tool requires a unlocked bootloader to us if you dont know how to do this check out my video on it here
http://youtu.be/sw675ipX-ds
Make sure you install the motorola drivers first either the 32bit or 64bit depending on your Windows machine
also make sure you turn on usb debugging mode on your Moto E
enter settings app
scroll to about phone then click on the build number 10 times 
back to settings and you will see developer options 
in dev options turn on usb debugging with a check box
Now you can run the tool. ENJOY