SBS 2003 to O365-Migration options?

A mid sized business consists of 65 users, on 45 laptops and desktops.  They currently host Exchange 2003 on SBS 2003.
We would like to move them on to Office 365.  We will either keep a server on premises, and upgrade to server 2012, or move all sharing and collaboration into the cloud and utilize skydrive.

The priorities from a management point of view are to provide users with a single sign on, and to maintain centralized management of the workstations.
ADFS does not appear to be a viable solution due to the size of IT staff (me), and the lack of redundant servers on site.

What is the best option for a SMB of this type for moving in to the 365 cloud, but still maintain single sign on for the users?  
Whether or not single sign on is an option, how would you recommend setting up a SMB of this size?
AE_JBAsked:
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Vasil Michev (MVP)Commented:
You cannot have SSO without ADFS. Dirsync with password sync is certainly an option for small organizations, but this is not true SSO. Read more about it here:

http://blogs.office.com/b/office365tech/archive/2013/07/26/password-hash-sync-simplifies-user-management-for-office-365.aspx

You can make it feel like SSO if you store the passwords (credential manager, browser addons, etc), should work just fine, albeit not as secure.

You can also run ADFS on VMs if cost is the major concern.
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