Andrew Fryer’s Blog has a brief discussion of the options for SQL Server consolidation including multiple instances, consolidating databases to a single server and virtualization. He give some brief pros and cons for each approach and then points to a more detailed Microsoft white paper that covers the topic.
If you’re trying to reduce your SQL Server overhead, reduce energy costs and better utilize your hardware, make sure you take a look at Andrew’s post.
SQL Server Consolidation
SQL & DataInstall, Upgrade & Admin
Archived post from 2008. Dynamics GP and the links it points to have changed since; check current documentation before relying on version-specific steps.