What would be the best way to set up the following?

 Small scale server, 12 users maximum - with the server also running a desktop.
 The desktop would need to display up to 4 audio/whiteboard instances at a time.
 Upload speed is limited to 100KiB/s.

 Would it be better to use a Ubuntu server install and then add a desktop like 
XFCE, or use VMs to keep the server and desktop seperate?

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