chris.s.powell (7/27/2010)
Is this a full backup being taken? If so, try running a transaction log backup five minutes prior, this will shrink the log file, which will make the full backup smaller.
This isn't true. backing up a log file does not shrink it, it merely flushes out all transactions that have been marked as completed.
There are other options which have not been mentioned.
Third party tools or another drive would be the much cheaper alternative even if it's just a cheap usb device that you can transfer the backup onto directly after it has been created. Ideally if you are copying the data it should be onto another server that is being backed up to tape.