You could always use Linux if you want.
Something simple like Ubuntu or whatnot can handle all sorts of different ways of doing 'sw raid', including Raid 0, Raid 1, Raid 5.. and can handle spares, too, and technically hotswappable drives if your hardware/drivers supports it (no sata stuff is supported to do that yet in Linux).
And there is no limit to how many connections you can have or what services you can run and stuff like that.
Not that I have anything against using Windows as a file server, I'm sure it will work fine and if it's what your used to... But I feel that Linux for file servers is technically better if you can get past the awkward learning curve.
Aside from that a good hardware controller will easily set you back a couple hundred bucks. Cheapo (less then a hundred dollars) controllers use 'Bios' Raid, which is what to real raid controllers what software modems and winmodems are to real modems. A better, and much cheaper, thing to do is just get a big harddrive and a nice DVD burner and use DVD's for backup. RAID doesn't equal backups or data security..
There is to many things that can go wrong that will easily destroy even a hardware raid array.
For example just yesterday.. At work we have a windows server on a old IBM server machine. It had 10-drive RAID SCSI array of some impressive complexity. It's on a couple very expensive hardware raid array controllers and have nice easy-to-use trays and it's hotswappable the whole ten yards. The air conditioning unit failed in the computer room in the middle of the night.. before anybody got to it the tempurature rose to over 100 degrees and 5 drives on that system burned out and took the entire raid array with it. Huge amounts of data loss.
Raid is mostly for high-aviability... not so much for data integrety. For that you have backups.
Actually get a couple dvd burners...