When early MacOS like 10.4 was released, the MacOS Server version with special capabilities was released at the same time, at extra cost. Over time, more and more and more of the features of Server have simply migrated into EVERY version of ordinary MacOS, such that special Server features are not longer needed, and a separate Server version has not been issued in a very long time. (MacOS server as a separate version was discontinued before APFS was introduced.)
Apple Remote Desktop is strongly aimed at Administering Software loaded on a group of local computers, NOT sharing files. Apple Remote Desktop is overkill for what you are talking about. Plain MacOS on the computer designated the Server will do the job perfectly adequately. Plain MacOS on each Users computer is perfectly adequate.
Mac File Sharing is perfectly adequate for accessing Shared files on a local server.
The credential required to access ANYTHING on the Server computer are credentials on the Server computer itself. This means you may need some additional Accounts, such as GROUP accounts, on your Server computer. These accounts will be the OWNER of the Shared Directories in which users store their shared files.
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The connection of the Server computer to the rest of your network could conceivably become a modest bottleneck. Depending on its size, consider adding an Ethernet Switch to your local Network. Consider high speed Ethernet connection to the Server computer. (These are concepts you could have in reserve IF any sort of bottlenecks develop over time. They are NOT needed on day 1.)
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Sys Admins confess this private rule for granting ADMIN access: No one gets Admin access unless they have the innate ability to FIX any issues they cause by their Admin access.