If you want Hylinker to run on local files, you must give it access on its details page:
To create an area highlight press Alt\Option key or click “Select area” in the top bar, then click the document and drag.
If you annotate a PDF on Device A and the annotations sync to Device B, Hylinker can load these annotations when you open the same file on Device B. This works even if the file is in different locations on both devices.
However, until you open the file on Device B, Hylinker won't know its location. So, the file's link remains unavailable until then.