It was the quotes on my shell line... Below is the working script for anyone who would like to use it. Thanks for the help!

;***Google Toolbar Uninstall***
dim $google1, $google2
$google1 = "%ProgramFiles%\Google\GoogleToolbar1.dll"
$google2 = "%ProgramFiles%\Google\GoogleToolbar2.dll"

if exist($google1)
SHELL 'Regsvr32 /u /s "%ProgramFiles%\Google\GoogleToolbar1.dll"'
del $google1
else
? "Google Toolbar1 not present"

if exist($google2)
SHELL 'Regsvr32 /u /s "%ProgramFiles%\Google\GoogleToolbar2.dll"'
del $google2
else ?

? "Google Toolbar2 not present"
endif