Do I need a preamp/processor?


Hi everyone, 

Home theater is new to me so I need assistance. The question I have is do I need a HT preamp/processor to properly listen to movies (DVD, streaming etc)?  I currently have a 2 channel system using a Red Dragon S500 amplifier, Schiit SYS preamp, and Kef ls50 speakers.  I’m mainly streaming Tidal through a Sonos Connect which is connected to the preamp via rca.

 I would like to add in the capability to listen to movies through the ls50s and Red Dragon. I’m currently doing it by running a toslink cable to an external DAC then rca to the preamplifier, then rca to the amp. The hook up works but it doesn’t sound that great. 

I was planning on upgrading my preamp anyway, and it was suggested that a HT preamp/processor might be a good alternative. It sounds very appealing since it would do double duty for me. However I’m still vacillating between the two choices since some nice 2 channel preamps pop up every so often.  

Please help!

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There is really no technical reson not to do this.The backend of the unit is just a high quality DAC with volume control and stereo outputs.
That could be quite interesting, or simply searching the threads for something similar already posted should help.
One box solutions in an Audio first and always forum often meets less than enthusiastic responses especially when it comes to the audio section of an HT system. Then a default to separates is the normal bent. HT recs are simply met with dismissive attitudes a lot.
In HT forums, it is not this way. As a solution they are accepted as a viable path from which to begin quite regularly.
http://www.parsaya.com

My source for the 105 doesn’t have it anymore bummer. So my question now is, does the 4K of the 203 outweigh the drop in audio quality?    Or posed differently, does the audio quality of the 105 outweigh the 4K of the 203?

By the way,  I spoke with Red Dragon Audio and they said that the Oppo works brilliantly hooked up directly to the S500!  The input buffer allows for higher input impedance, and the Oppo falls within that range. 
That's a question you will have to answer yourself, as it is totally apples vs. oranges.  For me, the audio quality of the 105 would trump.  I don't care about 4K because my 1080p projector is excellent as it is.  You really don't need 4K for a panel, in my opinion.  You really just need a very high quality panel/projector.  In todays market, almost everything is 4K anyways.
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