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SBS 2003 migration options?

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I am an IT consultant for a small company that has SBS 2003 with about 10 users.  

I need to upgrade the server it sits on which leads me to recommend that we upgrade the OS platform as well.  Seeing as Microsoft has retired the SBS family, can someone please advise what options we have at this point for an upgrade/migration?  

From what I gather I have three options:

  1. Upgrade SBS 2003 to SBS 2011 and deal with the fact that it will be the final platform in the SBS family, along with all the end of life support items due to arise.
  2. Upgrade SBS 2003 to Windows Server 2012 Essentials, but migrate Exchange to the Microsoft cloud platform while leaving all other roles on 2012 Essentials.
  3. Upgrade SBS 2003 to Windows Server 2012 Essentials including using 2012 Standard as a Hyper-V host and virtualize the Exchange server, keeping it on-premise.

Am I missing any options?  What are other companies doing in the wake of SBS being retired?


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