i believe youll still need the SD card seeing as the wii flash memory is but a tiny place. as for making it a channel, i have no idea.
installing the roms would be abit pointless though, so i advise using an sd card as said above.
the main reason its pointless is you can only *the last time i checked* install 1 per ffc or w/e.
there are programs to make them however if u wish but they end up taking up memory you may want.