The other concern that comes to mind is which eBooks to distribute - being that they are not going to broadcast intellectual property without permission.
Luckily, a lot of eBooks are free and in the public domain, including a lot of classic literature, so I don’t see that being an issue.

I have a Kobo e-reader, and it uses the .epub format, with or without DRM. It might be a better pick for compatibility?

Also, +1 for Calibre being awesome. I’ve had great luck converting ebooks to and from varying formats.