Move from server 2000 to new server 2003

I am looking at installing a new primary server at a small business. Their old server is running 2000 server(primary domain controller) and the new will be running 2003 server standard. They are running a few network based softwares on the old server. What will be the best way to transition everything to the new server. Could I upgrade the old to 2003, do a tape backup and restore that backup to the new server? Any Ideas would be greatly appreciated