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Why would I use multiple backup sets?

You can have as many backup sets as you want which makes life much simpler.  Multiple jobs can even run simultaneously.  There are several reasons you would want this functionality:

  1. Multiple backup sets can be used "break up" large data sets in to smaller jobs. This is best practice.
  2. Maybe you would like to backup specific files or folders more often than other folders?  Place those folders in a new backup set and create different schedules for it.
  3. If you use the "Local Backup" feature, it is recommended to create one backup set for the local backup, and one for the off-site backup.
  4. For servers such as Microsoft Small Business Server, you will need different backup sets for SQL, Exchange, and File backup
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