we had our 1st private tourney on fulltilt and it went off successfully. We did have an assload of people bombard our forum looking for the password, but we keep it very private. *don't name your tourney something that can be tracked back to your website if you don't want a ton of outsiders hitting your site only for the pword... no more
also had people badgering me while i was playing at fulltilt at a ring game a few days before the tourney asking for the password, and then when we also had some players berating some of our players via chat during the tourney (until i told them how to turn off spectator chat).
As far as private tourneys go, those mentioned above are good. I've done them at Gaming Club and Noble as well - if you're interested in those shoot me a PM.
Also, SelfMade - we have been doing what you're just now taking over for over a year (we run the Atlanta Poker Club)... PM me if you want to bounce any questions off of it, I'll gladly share info... especially if you sign up as a sub for me

(we can also help w/ league services)
good luck!