Srini:
This is coming from someone who is obsessed with backups (ask Adam) and preaches constantly about the need for redundant backups.I have to say that I think your method in all due respect is serious overkill. Just get a backup program capable of running constantly T-SQL backups and back up the imported items.
It's one thing for your server to crash, meaning no more information can be sent to it, and you simply are stuck redirecting faxes to paper and maybe using paper progress notes that can be re-entered manually.
A server just shouldn't shut down very often as in maybe yearly. I would never trust my staff to send me an SMS text file and then reconnect to a different database, which I would then have to move back to the original server.
While I do have the capability using a backup program to seamlessly back up the databases every 15 minutes, hourly or whatever, I do so hourly because the feature is there. Other than that losing one day's worth of imported files doesn't bother me that much and, as you referenced, you can get those back from your shadow copies.
Personally, from just reading your system, I think it would cause far more problems than just going with a daily backup possibly augmented by some database backups.
