First make sure that there are no firewalls blocking communication between the VM and the server.
If you have verified that there are no firewall issues, this may be caused by the previous instance of nvidia-gridd that had a license, did not shut down cleanly and remove its PID file.
You can fix the immediate issue with the PID file by doing:
'sudo rm /var/run/nvidia-gridd'
And then restarting nvidia-gridd using:
'service nvidia-gridd restart'