think of your power supply rating (700w) as more of a limit to how much your pc can draw. this doesn't mean that your pc uses this much power.
for example, my system has a 1000w power supply but typically only draws 250-370w. core i7, 470gtx
if the power supply meets the minimum requirements to run your system then most likely you could run it off the ups however, not for very long.
i went out and bought an APC brand ups, not the top tier but the one just below it (not sure on wattage) and i can only get 6-8 minutes of usage @ my power consumption! which is fine for my requirements. a laptop could be ran for like an hour.