NETLEDGER ANNOUNCES FIRST XML STANDARD FOR
THE SMALL BUSINESS ASP MARKET: SMBXML™

New Open Standard Enables Seamless Integration of Online Small-Business Applications

San Mateo, CA. - May 15, 2000 - NetLedger, Inc., the breakthrough application service provider (ASP) that allows millions to run their small businesses totally online, announced today that it has developed the first XML standard specifically for the small to medium business community: SMBXML.  The new standard allows NetLedger and other ASPs to exchange information in a common language, and thus seamlessly integrate their products to deliver greatly enhanced business solutions.

“XML standards have been available for some time in the B2B community, but, until now, no one has brought this platform to small businesses,” said Evan Goldberg, founder and chief technology officer of NetLedger, Inc.  “NetLedger has taken a huge step in making this happen.  NetLedger is truly at the forefront in defining technology to advance the ASP market. Through the SMBXML standard we are now able to fully integrate our solution with those of our partners.  For the end user, this translates to complete, integrated solutions. The elimination of double-data entry means time- and cost-savings for the business.”

“NetLedger’s new SMBXML standard addresses the critical need to link PCs, file servers, and Internet business services together, making the Web the new place where people go to work,” said Vernon Keenan, Internet analyst with Keenan Vision Inc. “XML-based communication vocabularies like SMBXML give the users of Internet business services, as well as the services themselves, access to system interoperability that will free users of the need to install and maintain software.”

The SMBXML specification is available immediately at www.smbxml.org. It represents a first for the small-business-accounting software industry, a first for small businesses, and a first for the ASP community at large.

Because the SMBXML standard is open, NetLedger anticipates that it will significantly advance and strengthen the small-business ASP market as a whole by delivering more complete e-commerce solutions through strategic technology and business partnerships.  ASPs no longer need to wrestle with proprietary data formats in order to collaborate. NetLedger’s commitment to open standards extends to the system infrastructure it has deployed to manage its operations by employing Apache Web servers and the Linux operating system in its new consolidated data center.

NetLedger is currently in the process of using the new SMBXML standard to enhance its own core online accounting solution by integrating with business applications and servicesof other ASP industry-leading partners such as Red Gorilla (online time and billing), RecoverDebt.com (online accounts receivable management and outsourcing), Freeworks (online business services and office automation), OneCore.com (online financial services), CyberBills (online bill management) and others.

“Red Gorilla is pleased to be working with NetLedger in establishing the SMBXML standard,” said John Witchel, Red Gorilla founder and chief executive officer. “Red Gorilla’s Application Syndication model is predicated on the use of open XML standards, and we are thrilled to see NetLedger develop a standard specifically for the small business market. The establishment of SMBXML facilitates integration between Red Gorilla's time tracking, invoicing and reporting application and NetLedger's online accounting platform.”

“We are excited about integrating with NetLedger using SMBXML,” said Tom Boland, director of product development and technology of RecoverDebt.Com. “Though our companies will see definite benefits by sharing information between our applications, the real benefits are experienced by the users themselves.”

“Freeworks’ applications are an ideal match for SMBXML,” said David Stubenvoll, chief executive officer of Freeworks.com. “With our focus on the small and growing business, and the seamless integration of Freeworks’ time, expense, invoicing and other services with NetLedger, the user is able to choose complementary tools to help manage their businesses more efficiently and increase productivity.” 

“Our deployment of XML is another giant step in developing better solutions for our customers,” said Bill Mirbach, president and chief executive officer of NetLedger, Inc.  “As a small business ASP, our ultimate goal is to empower growing companies to run their entire businesses online without investing in complicated and expensive IT infrastructures.  With XML for small businesses, gone are the days of being locked in by shrink-wrapped accounting software to a limited set of external services. Small businesses now have real control over their data and choice in all the applications they use with it.” 

NetLedger also announced today the release of NetLedger 3.0 (available at www.netledger.com), which goes beyond the core accounting solution to enable small businesses to conduct other key operations online.

About NetLedger

NetLedger, Inc., the breakthrough application service provider that allows million to run their small businesses totally online, delivers the industry's first Web-based accounting platform.  NetLedger is committed to delivering seamlessly integrated business applications that combine enterprise performance and reliability with unprecedented ease of use and low prices.  The company’s standard offering includes NetLedger™, a full-featured, multi-user, Web-based accounting solution for small businesses and organizations, available at $4.95 per month, per user; NetLedger™ Basic, a free Web-based business finance solution for small businesses and organizations; and NetLedger™ Personal, a free Web-based personal finance solution for the consumer. NetLedger was founded in 1998 and is headquartered in San Mateo, Calif.  NetLedger has secured numerous strategic partnerships to deliver to small businesses enhanced, integrated solutions with: Automatic Data Processing (ADP), OneCore.com, Stamps.com, New England Business Service (NEBS), BigStep.com, Red Gorilla, Cyberbills and Innovative Merchant Solutions.  For more information about NetLedger visit the Web site at http://www.netledger.com.