[MrSandMan]

Bleeding will be the main problem. You could try a Tascam DR1 and if you don't like it, send it back for a refund. I've heard some samples from it and thought it does a good job for the price. I'm going to get a pocket recorder for myself, just because they're so useful for many applications.

Another option would be something like the D888 (which can be found for a reasonable price). Just input all the mics in that and record.

Mic placement for the drums:
Use a couple condenser mics above the drum set, angle them just a tad. You'll want the proper mix, so keep the volume down. (you'll want to sample different mic placements -trial and error)
The kick mic: If the bass drum doesn't have a hole in the outside skin, take the back skin off. Place the mic inside the bass drum. You'll probably want to sample a couple different placements for best results. We always used a pillow too.