SBS 2003 to 2008 R2 with NO Exchange

I am getting mixed signals about migrating SBS 2003 to 2008 R2. I would like a easy explanation.
My customer has hosted email now. SBS 2003 needs to go away. I will be making the 2008 R2 the new DC. Two questions are:

1. Do I need to uninstall Exchange off of SBS for a clean AD move over to 2008?

2. Is there anything special that I would need since Exchange is not going over to the 2008?
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Glen KnightConnect With a Mentor Commented:
If you follow these steps you should be good to go:

Step 1 - Health Checks on Small Business Server 2003

The absolute first thing you need to do is take a SYSTEM STATE backup of your Small Business Server as well as a full system backup.  There is little chance of the data getting lost but the SYSTEM STATE backup backs up Active Directory so that if it all goes wrong we can recover it if needed.

What you then need to do on the SBS 2003 server is to make sure you have all the latest available updates.  This means you should at a minimum have:
Windows 2003 Service Pack 2
Windows Small Business Server Service Pack 1
Microsoft Exchange 2003 Service Pack 2
Once you have installed all of the above, run Windows Update and make sure you select the option in the blue banner bar across the top for Microsoft Update.  Microsoft Update will then allow you to update all Microsoft products installed on the server providing a more comprehensive update solution.  Keep running the check and installing all updates until there are no more available.

Check the health of your Active Directory by running DCDIAG, if there is anything reported as an error fix it before moving on.

Run the Small Business Server 2003 Best Practices Analyser from here:

A common problem that can cause this migration to fail is that the SBS 2003 server does not have its own IP address listed for DNS in the network properties under TCP/IP.  If this is the case, update it so that it does (do not use the loopback address).

Step 2 - Join new Windows 2008 Server to the domain as a member server

To join a Windows 2008 Server to the Small Business Server domain we need to first ensure that it is receiving a correct IP Address

Allow the Windows 2008 Server to receive a DHCP Address from your Small Business Server.  Run an IPCONFIG /ALL to check this.  The DNS Server entry is probably the most important. This should be configured to use the IP Address of your Small Business Server for DNS.

To test, it might be worth just pinging the SBS 2003 server from a command prompt just to check the name can be resolved by doing the following:
Click Start > Run > type CMD and then click OK
If you get a good response then we can try and join the 2008 server to the domain.

To Join the Server to the Domain, do the following:
Click Start and right click on Computer and select properties
From the screen that opens under the section called Computer name, domain, and workgroup settings click Change settings.  Then click on Change
At this point if you haven’t already specified the name of your new server you can do so
Check the radio button next to where it says Domain and enter the domain name that the Small Business Server 2003  belongs to
Click OK
At which point you will be prompted for a username and password for a user that has permissions to add the computer to the domain
Once you have added your credentials and click OK you will then be informed the server requires restarting.  Please restart to resume the migration
Step 3 - Prepare Active Directory for Windows 2008 R2 Server

The first step of this process is to raise the Functional Levels of the SBS 2003 server.  This involves raising the domain and forest functional level of Active Directory, since you are not using exchange you don't need to worry about the  Operational mode of Exchange Server.

To raise the Domain Functional Level do the following:
Click Start > Administrative Tools > Active Directory Users and Computers
Right click on the domain name and select Raise Domain Functional Level
In the drop down box select Windows Server 2003 and click OK (if this has already been done don’t worry)
To raise the Forest Functional Level do the following:
Click Start > Administrative Tools > Active Directory Domains and Trusts
Right click where it says Active Directory Domains and Trusts and select Raise Forest Functional Level.

Before we can add the Windows 2008 Server as a domain controller to the SBS 2003 domain, we need to prepare Active Directory.
To do this use the following procedure whilst working on the Small Business Server
Insert the Windows 2008 DVD in to the Small Business Server.  Ignore the autorun message that appears telling you this version is incompatible by clicking OK
Open a command prompt (Start > Run > CMD) and run the commands below
NOTE: X: refers to the drive letter that has been assigned to your DVD Drive.
X:\support\adprep\adprep32  /forestprep
After the above command you will be prompted to confirm you wish to proceed by typing the letter C and pressing Enter
X:\support\adprep\adprep32  /domainprep
X:\support\adprep\adprep32  /domainprep /gpprep
X:\support\adprep\adprep32  /rodcprep
Step 4 - Make Windows 2008 R2 Server a Domain Controller of the Existing Small Business Server 2003 Domain

To make the Windows 2008 Server a Domain Controller is fairly straight forward, we simply click Start > Run  and type DCPROMO click OK.

This will check that the Active Directory Services Binaries are installed and if they are not, it will install them.  It will then start the Active Directory Domain Services Installation Wizard.

On the first screen, there is no need to check the 'Use Advanced mode Installation' check box, just simply click next.  On the operating System Compatibility screen click next.

On the 'Choose a Deployment Configuration' screen, select the radio box for Existing Forest and Add a domain controller to an existing domain.  Then Click next.

On the 'Network credentials' screen, the name of the domain should have been detected automatically.  Check this is correct.  If you are logged in as a user that has domain admin privileges then you can use the My Current logged on credentials option.  If not, click the set button and add the username and password that has domain admin privileges as shown in the screen above.  Click Next.

The following screen will give you the results of a domain search and ask you which domain you want to add this domain controller to.  As you are upgrading Small Business Server there should only be one.  Click Next. 
The next screen will give you an option to select the site for the new domain controller.  If you have more than one Active Directory Site ensure that you select the correct one if it hasn’t been done by default.  Click next.

On the 'Additional Domain Controller Options' screen, make sure that both the DNS Server and the Global Catalog options are both checked.  Click Next.  The error message regarding DNS Delegation can safely be ignored.  Click Yes on this dialog to continue.

If you have separate folders where you want to store your log files, SYSVOL share and the Active Directory database then these can be specified on the next screen.  To be honest I keep them all as defaults.  Once done, click Next.

On the following screen, you are asked to set a password for Directory Services Restore Mode Administrator (DSRM).  Please note this is NOT the Domain Administrator password.  This password is used to boot the Domain Controller into Directory Services Restore Mode which is used for recovering corrupt/deleted/failed Domain Controllers.  Make a note of this password and keep it somewhere safe (in a fire safe for example).

Click Next on the following 2 screens.  The wizard will then start the promotion of the server to a domain controller (I always check the box on this screen to reboot on completion - This way you can leave it and come back to it knowing that it will be ready to continue).

Once rebooted your new server will be a domain controller, DNS server and Global Catalog server in your Small Business Server Domain.

Step 5 - Transfer DHCP Service

By default the Small Business Server will be the DHCP Server (if it isn’t and you're using something else for DHCP, then you will simply need to update the DNS configuration this device is giving out so that it points to the 2008 Server instead of the 2003 Server) we will need to transfer this to the new server.

We can start this process by installing the DHCP Service.

To install DHCP, open up Server Manager and under Roles, click Add Role. From the list, select DHCP Server and click Next then next on the Introduction to DHCP Server screen.

On the network Connection Bindings screen you should have your primary IP address listed.  Click next.

On the Specify IPv4 DNS Server Settings check the following settings:
Check the parent domain name is correct
Make sure that the IP Address listed for Preferred DNS server IPv4 Address is the address of the new Windows 2008 Server
Remove any entry in the Alternate DNS Server IPv4 Settings as these will not be required
Click next
Click next accepting the default settings on the WINS screen.

On the Add or Edit DHCP Scopes screen, click Add.  This will present you with the Add Scope dialog box.

On this screen enter the following details:
scope name
the start IP address
the end IP address
(This should be the same as the DHCP Scope you have configured on the Small Business Server).
Uncheck the box that says Activate this scope (we don’t want it just yet)
The subnet mask should have been calculated automatically but if it isn’t correct then please change it to ensure it is
Enter the default gateway; this will be the router on your network
You will notice in the scope I am creating, I have started from this is so that I have 15 addresses that I can assign to fixed addresses.  My Small Business Server and Windows 2003 server will have an address below but I might also have printers, photocopiers, and wireless access points that also need fixed IP addresses.  I have also left available to use for my router.

Once you have completed all the details, click OK and then Next.

Accept the default setting on the 'Configure DHCPv6 Stateless Mode' and the Specify IPv6 DNS Server Settings.

On the 'Authorize DHCP Server' screen, select to use the current credentials and click Next, then Install on the confirmation screen.

The DHCP Server service is now installed on the Windows 2008 server.

Before we can switch over, we need to make some changes to the Small Business Server DHCP settings.  Whilst we can just turn one off and turn the other on this will cause you to have to release and renew the settings on the client machines manually for them to pick up the new DHCP Service.  The alternative is to wait the 4 days before your client machines request an IP address renewal.

To make the required changes, do the following on the Small Business Server:
Navigate to Start > Administrative Tools > DHCP this will open the DHCP snap-in
Right click on the Scope listed under your Small Business Server and select properties

In the section titled 'Lease duration for DHCP clients' we are going to change it to 2 hours from the default of 8 days.  Click OK

Then under Address Leases, highlight all DHCP Leases, right click and select delete.  NOTE:  If you have any reserved addresses make sure they are not highlighted otherwise they will be deleted also.

This action will cause all DHCP clients to renew their addresses and gain an address that has a 2 hour lease.  Check the Address Leases and refresh until you are happy that all the clients now have an IP address. (You might want to leave this overnight just to make absolutely sure)

Once you are happy that all the clients have now got a 2 hour lease from the Windows 2008 server do the following:
Navigate to Start > Administrative Tools > DHCP
Expand the Windows 2008 servername and IPv4 then right click on the scope listed
Select Activate
This will start the DHCP Service on the 2008 server and deactivate the service on the Small Business Server (this will happen automatically because when Small Business Server detects another DHCP server on the network it shuts its own down).

You will now find that in approximately 1 to 2 hours time, all your clients will start picking up IP addresses from the Windows 2008 Server.

You can now disable the DHCP Server service on the Small Business Server.  DO NOT disable the DHCP Client service, as this plays a part in DNS registration.

Now that all the clients are using the new Windows 2008 Server for DHCP and DNS, we need to make sure that the Small Business Server is also using the Windows 2008 Server for DNS.  To do this modify the TCP/IP properties of the network card and change the Primary DNS servers IP address to that of the Windows 2008 Server.  Do not enter anything in the Secondary DNS server.

Once you have done this restart the NETLOGON service so that the DNS entries are added to the Windows 2008 DNS.

Step 6 - Migrate shared user data

Once you have the shares configured a simple backup of the SBS2003 server and restore to the 2008 server will restore all data with associated permissions.

Alternatively you could use robocopy which is part of the Windows 2003 Resource Kit which can be downloaded from:

There is also command line reference for robocopy here:

Step 7 - Uninstall Exchange 2003 from Small Business Server 2003

It wasn't clear from your question if exchange had already been uninsalled, if not you will need to uninstall it.

To perform this task we will need Small Business Server 2003 CD 2, which will be asked for during the uninstallation.

To do this, navigate to Start > Control Panel > Add or Remove Programs.  From the list of installed applications, highlight Windows Small Business Server 2003 and click Change/Remove.

Click next on the Welcome screen, and next on the screen that follows.  Once the component screen opens pull down the drop down next to Exchange Server and select remove. Then click next and next again.

Step 8 - Transfer all 5 FSMO roles to Windows 2008 Domain Controller

Caution needs to be taken when performing this next step.  I would advise that ALL of the previous steps need to be completed before this is done as Small Business Server MUST hold all 5 FSMO roles.
Once you are ready, the roles can be transferred as follows.  Working on the Windows 2008 server do the following:
Click Start > Administrative Tools > Active Directory Users and Computers
Right click on the domain name and select Operations Masters.
On each tab (RID, PDC & Infrastructure) click the change button.
Accept the confirmation that you want each role to be transferred.
That is 3 of the 5 roles transferred.  To do the next one, which is the Domain Naming Master we need to do the following:
Click Start > Administrative Tools > Active Directory Domains and Trusts.
Right click where it says Active Directory Domains and Trusts and select Operations Master.
Once again click the Change button and say yes to the notification dialog.
4 down with 1 to go.  To move the Schema Master role we need to do the following:
Click Start > Run and type regsvr32 schmmgmt.dll
Click OK to the confirmation
Click Start > Run and type MMC and click OK
Select File > Add/Remove Snap-in from the console
From the list select Active Directory Schema, click Add
Click Close and OK.
Right click on Active Directory Schema and select Change Active Directory Domain Controller
Choose the Windows 2008 Server from the list and click OK
Click OK on the warning Dialog box.
Right click on Active Directory Schema and select Operations Master
Click the Change button and say yes to the notification dialog
That’s all the FSMO roles transferred from the Small Business Server.  The next and final step is to demote the server from being a Domain Controller.

Step 9 - DCPROMO SBS 2003 server so it is no longer a domain controller and remove from network

This is the final step of the migration process.  If you have made it this far, well done!  This is the easy bit!

The first thing we need to do is make sure the Small Business Server is not a Global Catalog Server.  Click on Start > Administrative Tools > Active Directory Sites and Services.  Locate the Small Business Server.

Right click on NTDS settings located under the Small Business Server and select properties.  Remove the check from the Global Catalog check box and click OK.  Close Active Directory Sites and Services snap-in.

The final step is to run DCPROMO.  To do this, do the following:
Click Start > Run and type DCPROMO and click OK
Click next on the Welcome screen
DO NOT check the box that says “This server is the last domain controller in the domain” and Click next
Enter a new administrator password for the local administrator user and click next
The server will then remove Active Directory Services from the Small Business Server and it will no longer be a Domain Controller.

Once this has finished, allow the server to restart, login and then shut it down.  You have now completed the migration.

This is a customised version of my full article found here:

With sections from:
just for completion, just forget the exchange part in the document, don't install it and kill your sbs
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ZeroDoggAuthor Commented:
Im keeping the domain. The SBS box will be completely removed once the 2008 R2 has become the new DC. They used to use the exchange on the sbs but since have went to hosted email. Right now it is the only Dc on the domain so this has to be right the very first time for AD and everything else.
You might want to keep the SBS such that you have two DCs.
ZeroDoggAuthor Commented:
Im very bad at what I am asking. The SBS has been causing REAL headaches and btw its a virtual. I didnt design this I was only asked to fix this. The SBS HAS to leave the domain. The company is growing and a sbs will not work in the growing atmoshpere but the company started with this machine. This is the only DC at the moment. I want to move the DC role over to 2008 R2. There wil be no exchange, sharepoint or even SQL services. They had exchange but went hosted. They tried Sharepoint and gave up on that. I have stripped the machine of only a DC and some file shares. I know sbs has a "small man syndrome" and controls everything.  I need a flawless AD/ DC change where an old Exchange (sbs) wont trash my migration to 2008 R2 server. Once this is complete I will have another server take on the secondary DC. Does this help? Please let me know.
ZeroDoggAuthor Commented:
Demazter, what can I say, you're the man!
Glen KnightCommented:
Glad to be of assistance. :)
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