This weekend’s recall of beef products because of possible E. coli contamination is one of numerous significant food recalls this year. Because of such recalls, consumers are growing increasingly concerned about the safety and quality of their food. A new food safety system will help address issues associated with food contamination and recalls.

FoodlogiQ and Smart Online, the companies that developed the National Food Safety System to help reduce the number of food recalls and to pinpoint the exact source in the event of food contamination, want to help limit additional beef recalls due to E. Coli concerns this year. The companies are offering the traceability component of the system to U.S. cattle operations and beef processors, free of charge for the remainder of 2008.

Andrew Kennedy, president of FoodLogiQ is concerned that the beef industry is unable to accurate ly trace beef from farm to fork, resulting in inadequate controls to manage E. coli.

“As consumers, we shouldn’t be afraid to order a burger in fear that it’s made with tainted meat,” said Kennedy in response to the latest recall. “Why does the USDA require imported cattle to be traceable but not domestic cattle? Why is a sanitation grade posted at a burger restaurant but not on the ground beef sold in grocery stores? Why are recalls voluntary for food and mandatory for drugs? We can help solve this problem, and hopefully by offering free traceability for the remainder of the year, the industry will see that there is an immediate and effective answer to this growing concern.”

Kennedy is available for further comment on how the National Food Safety System provides a simple, low cost, on-demand, USDA certified lab testing for food contamination, including E. coli, the concern of the most recent beef recall. He can explain how track-and-trace software based on RFID (radio frequency identification) technology and "stop at the dock" instant notification of failed supplier lab testing is now available and can help limit the size of a recall as well as damage to retailers and consumers.

Tom Furr, chief strategic officer, Smart Online is also available to comment on how the National Food Safety System is designed to enable farmers, food processing plants and retailers to keep products safe. He can explain how the technology behind this new system connects all the points along the food chain so that consumers know they are getting the freshest food available.

To schedule an interview about the prevention of contaminated food and food recalls, the precautions farmers and food processors should take, overall improved food safety or what consumers can do to ensure they are buying fresh meats and produce, please call Dana Hughens at 919-457-0749. More information about the National Food Safety System, as jointly developed by FoodLogiQ and Smart Online, is available at: www.foodlogiq.com/news/pr_pages/08-05-01_FoodLogiQ_Product_Launch.htm.

About National Food Safety System

National Food Safety System enables producers, processors and retailers to ensure they are providing safe food products. It combines low cost, on-demand food safety and defense modules with a world-class traceability engine and consumer textable farm of origin label codes. The National Food Safety System can be used for all types of food, by all participants from growers to grocers in the local and global food supply chain to produce, process, distribute, defend and market high quality, safe food.

About FoodLogiQ

FoodLogiQ links the people and companies in the world's food supply from the grower to the consumer. FoodLogiQ web-based workflow, compliance and traceability systems are used by individuals, companies and industry associations to help defend the food supply from intentional and unintentional harm while communicating branded Food Quality and Safety. FoodLogiQ LLC is based in the Research Triangle Park, North Carolina with a technology center located in Calgary, Alberta. FoodLogiQ Canada was formerly known as Clarkston Canada. For more, visit www.foodlogiq.com.

About Smart Online

Smart Online, Inc. (OTCBB: SOLN) delivers private-label, Software-as-a-Service (SaaS) applications designed to enable its corporate partners to acquire and retain small business customers. Smart Online’s applications help partners increase their recurring revenue, while aiding their small business customers to more efficiently start, manage and grow their businesses. To learn more, please visit www.smartonline.com.

Smart Online and the Smart Online logo are trademarks and/or registered trademarks of Smart Online Inc. in the United States. Other marks belong to their respective owners.

Forward-Looking Statements

Statements in this press release that are "forward-looking statements" are based on current expectations and assumptions that are subject to risks and uncertainties. Actual results could differ materially because of many factors, including, but not limited to, delays in development schedules, changes in market conditions, product announcements by other companies, Smart Online’s ability to raise capital to increase its sales and marketing budget, customer perception of the value of Smart Online’s enhanced products, Smart Online’s dependence on corporate partners to market its products, and its ability to effectively manage expenses. For further information regarding risks and uncertainties associated with Smart Online’s business, please refer to the Risk Factors section of Smart Online’s SEC filings, including, but not limited to, its Annual Report on Form 10-K for the year ended December 31, 2006 and the Quarterly Reports on Form 10-Q, copies of which may be obtained on the web site of the Securities and Exchange Commission. All forward-looking statements in this press release are based on information available to Smart Online on the date hereof. Smart Online undertakes no duty to update any forward-looking statement or to conform the statement to actual results or changes in Smart Online’s expectations.

For Smart Online
Dana Hughens, 919-457-0749
dana.hughens@fleishman.com