Using a Mac Mini M1 for music server

So I currently use my desktop iMac for my Music files. To listen to them I use my Apple TV connected to my home stereo using the HDMI from the Apple TV to my stereo. We are in the process of moving to a new house and hopefully will be including a dedicated theater/media room. I have been buying music either in ALAC or ALAC HD and ripping new discs into my system using ALAC. I just read that Apple TV will not play the ALAC in true lossless and will downsample it.

My question is can I use a new Mac Mini M1 just as a music server? I would connect the Mini to my stereo via HDMI. I was hoping to use a Harmony Elite to control the Mini. Believe it or not I used a Mini as a music server back approximately 2007 or so. I know I didn't have the option of HDMI. I just don't remember what I did to control the Mini. I appreciate any input. Thanks