Thank you Dyonight and Craig! Both of your answers combined really helped settle the issues I had in my mind. This is HUGE, thanks!
Okay, so now I have another quick question: If I have multiple mic preamps, and multiple hardware compressors that I want to be able to mix and match the signal paths into Sonar with, is there a "transparent" solution I can use without going the patchbay route?
Here's the scenario... I have 4 mic pres. I have two compressors. Do I run the mic pres straight into the VS700R and then find a way to route the signal back out into one of the compressors via another rack unit like say Octacapture or one of Dyonight's other solutions? This is giving me a headache...
I am even considering these, but I am not sure how transparent the signal will be by the time it gets into Sonar:
Coleman Audio MS6 (for my mic preamps) and..
Coleman Audio MS6R (for my compressors, which would then be connected straight to the VS700R).
Signal chain would be: Mic, to MS6 switcher (choosing a preamp at this stage), then to MS6R (choosing a compressor at this stage), and then finally compressor out to one of the analogue inputs on the VS700R.