First, decide if you are going to marinade the bacon or use a sauce.
To marinate, combine brown sugar and balsamic vinegar in a ziplock bag and mix. Then add bacon slices and allow it to marinade in the refrigerator for at least two hours. Then remove the bacon slices from the marinade and place them on a wire cooling rack.
If you are using a sauce, lay the bacon slices out on a wire cooling rack and apply sauce to both sides of the bacon.
Line a baking pan with aluminon foil and place the rack of bacon over the pan. Then place the pan into your pre-heated smoker. Smoke the bacon at about 200°F, but no more than 225°F for four hours.
At the four-hour mark, start to check the doneness of the bacon. The bacon jerky is done when it feels firm and dry but can still bend without breaking. If it cracks into several pieces, it is too brittle and that means it has overcooked. If it is not done at the four-hour mark, recheck it every 30 or 40 minutes. If you have thin bacon, you may want to start checking it at the three-hour mark.
When the bacon is done, remove it from the smoker and place it on some paper towels to absorb any extra grease. You can store it in an air-tight container in the refrigerator for up to a week.