Battle round in simulator game

I am making a simulator and every 5 minutes or so I would like the players to have the ability to join and teleport to a PVP battle. I have made a round-based game before, so I am assuming I will have to do the same thing but account for these differences:

  1. Since it is not a round-based game, should I still have a loop running the PVP battle continuously but with a lengthy 5-minute intermission?

  2. When players kill others in the game, they get a Player Killer Flag with a bounty system. This is a bool value that is data stored and on a 2-minute timer which gets destroyed when time runs out or if the player’s bounty is collected. I don’t want the PVP battle to effect the actual bounty system or PK flags. In other words, I would like to pause that while the battle is going on and resume or restart it after the battle completes but I am unsure how to do that. Right now, the player that PKs another has a script with a billboardgui that is parented to their character, but I can think of other ways to do this.

  3. In my last game every player was “playing” so I will need to setup a variable to account for players that opt into the battle so the others do not get teleported. I also need to check for at least 2 players and handle the end of the round reward. I think I can do all of this, but it is a team game and I will also need something to auto-balance the teams if anyone could offer advice there.

Any type of explanation, tutorial, or advice is appreciated.