I’ve not tried this as I currently have no need, however I have noted that it would be difficult to move the backup location due to the hardlinks?
For people using less robust single disk server setups would it not be possible to clone the entire disk to a larger capacity disk using a suitable tool like FOG/Clonezilla/Ghost?
Yes, that would be the better way. I’m sure there are a lot of image backup solutions for Windows which could be used. You can also put the storage disk into a raid-1 where you take one disk off-site.
With 1.4 and the symlinking the hard-links should be less of a problem. But then you have to repair the symlinks once you want to use the off-site backup.