On my 8 channel i/o unit here at home I can create a send on any input channel and assign that to any bus. Any bus can be sent to any hardware output - in my case 8. So, I could create 6 separate mono feeds (or 3 stereo headphone outputs) and still have my monitor master going to my speakers. And there is a separate stereo digital out I could jerry-rig if needed.
I suppose the V-700 works the same way, plus all the digital in out. I don't know how the headphone outputs work, but I suppose they are in parallel w/ a hardware output rahter than separate bus (or Cake would have made a bullet point about this). There are 8 analog outputs. Plus the spdif out, plus ADAT out. They should show up in SONAR (a lá Brandon) as physical outputs. The TC stuff uses 2 of the 8 channels of ADAT as I remember. But you could get a cheap ADAT ADA (the beringer unit comes to mind) and use that for 8 more physical analog outputs. That gives you 14 outputs for headphone submixes plus a master for the control room. Of course, working at 88.1 or 96 gives you half the ADAT i/os. But I've never found it necessary to make 7 headphone mixes. That is a pain even on a big mixer. The drummer, the singer (if they are doing a real take not scratch) and one or two for the rest of the rhythm section. But if each musician wants a separate feed with "more of me" and they want to pay for the set up time and for me to keep tweaking it, that is fine, too.
If you need more outs, add a second V700 i/o - doubling the number and all running through USB (according to Cake). But the v700 ain't itself a replacement for a large 32X8X8 mixing board and separate audio interface to match. SONAR replaces the board and patching - just be able to run it at low latency.
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