Email options in SugarCRM 4.2.x can be configured while creating the users and can be edited later on through the Admin panel. To set the Inbound and Outbound email working, follow the simple steps below:

First of all we will be configuring the Email settings. Go to Admin>Email Settings. In the Email Notifications Options block you can set the parameters like From Name, From Address. You can also set the Mail Transfer Agent, either sendmail or SMTP.

Now go to Admin>Inbound Email Setup. Here you have to make settings to get the emails in your inbox within SugarCRM. The Basic Setup box is to be filled very carefully. In the Name field you have to give the name of the Inbox, give the name of the mail server that you are using. Then set the mail server protocol from the drop down list(IMAP or POP3). The next main thing is to give the username and password of the email address that you are using with correspondence to the mail server that you have mentioned in the Mail Server field. Most of the time it happens that we give that username and password which we are using to login in the SugarCRM application. Please make sure that you give the email address as the username and the corresponding password.

The next block Email Handling Options is optional. You can skip this. Now you have to click on Test Settings button before saving this mail box. Now your SugarCRM is configured to recieve emails.