Document management system using Sharepoint API

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I'm looking at creating a document management system. I want my users to be able to open a document from the server, make their changes and then when they've finished hitting the save button in Office should save the document back to the server whilst persisting a version that existed before their changes were made.

Has anyone utilised Sharepoint for this at all? I don't want the user to see the Sharepoint interface, I only want to use it for the document management features which should allow the open, check out, change, check in features using the API.

If anyone can point me to any examples of this, it would be great.

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IrishChieftain On

This is out of the box functionality with SharePoint - just turn on versioning for the library in question.

http://office.microsoft.com/en-us/windows-sharepoint-services-help/introduction-to-versioning-HA010021576.aspx