SQL Server App via Terminal Services / Processors

I have two servers: Server 2003 Enterprise, which is my Terminal Server.  SBS 2003 Premium, which is my domain, file, DHCP, and SUS server.

After confirming with the software vendor, I am planning to merge five clinical software databases into one installation of SQL Server for ease of reporting. In the proposed scenario, users from four remote sites would log in via Terminal Services to use these databases.

In order to do this, I will purchase the full version of SQL Server. I can get a processor license to avoid having to get CALs. On my multi-core processor, I would only need one license. However, this machine is not the Terminal Server, it is the domain server and also is the DHCP, DNS, WSUS, and file server. All of the user folders and the shared directory are on this one. This server has the hard drive space and the power. The Terminal Server does not have the HDD space, plus it has two separate processors forcing me to buy two CPU licenses (I can't).

Please note this is a very small LAN. The whole organization has less than 50 people; my LAN where the servers reside has about 25, so these servers are not being pushed at all. They have plenty of CPU power and a lot to spare.

Because of serious budget limitations, I would need to install SQL with the databases on the SBS server. It would work like this: Users would log in using RDP to the 2003 Enterprise Terminal Server. Then from their remote desktop via a mapped drive, they would access the SQL databases which are installed on the SBS server.

Will this work? (Please hold the security lectures - I am with a nonprofit and money is very limited. Yes, I do buy my software from TechSoup).

Thanks, everyone.
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Abhay PujariConnect With a Mentor Commented:
As far as your situation is concerned, I think this is possible. You can do this. But there can be a issue of security. If you have a firewall and good antivirus software, then you can always minimize the attack. Also you can implement VPN which is more secure.
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