Answer by stonepriest

[Unity FBX export][1] Fixed my issue with receiving error cannot convert .blend file to FBX. using Blender 2.69 and Unity 4.3.2f1. My model was still in Edit Mode when trying to save direct to the asset folder or importing in Unity project. Changed to Object Mode and saved then dragged into Unity without issue. [1]: https://developer.blender.org/T37630