Totally agree about the shadow copy thing replacing daily backups, i've done exactly this and never had a problem. Its a great feature.

http://www.microsoft.com/windowsserv...rview/scr.mspx

We still run a full backup every Saturday and this seems to cover all the bases. I have had to deal with a corrupted raid drive on our main file server before and the backup worked well. People were not too bothered about a few days loss and even then, 5 days loss is worst case scenario if the server fails on a Friday evening.

I need to look into off site backups but will probably just get a removable hard disk for my backup server.

I also do a 3 month backup to another server that has a couple of hundred gigs spare just in case.