Sounds like the hard drive is sticking a bit, so the BIOS doesn't get a response within the specified amount of time because the disk isn't spinning up in time. When you reset it, it's already moving so it works. This isn't uncommon with old drives. About time to retire that thing anyway, he might be surprised by the speed of newer drives, and a 40GB drive is wicked cheap if that's all he needs. It doesn't necessarily mean the drive is on the virge of failure at any moment, just that the lubrication is going bad. If he was getting errors and crashes, it would indicate a real failure of the drive, bad sectors, and would be an immediate cause for concern.
Could also be the power supply. During boot the system uses a lot of power, and the hard drive draws a lot more than during normal operation so that it can spin the platters up quickly. The PSU may not be able to supply quite as much power as needed when everything is drawing at the same time. When you reset, most things are already spun up or partially so, and the load is less.