It depends on how you do it. If you really put effort into arranging the song so it's not again just another cheap "copy", I see no problems. Use your band member's imagination and talent to make it your own. Songs that have been covered millions of times are mostly great songs that the audience like. That's the reason they are as played as they are.
One of my favorite songs to cover is at the moment "Knocking on heaven's door", thanks to an arrangement with nice chord voicings and a lot of dynamic changes.... Not anything really thrilling regarding the bass part, but in overall the song sounds really good with this arrangement.
I got an idea: I should start a band playing only great cover versions of the most covered songs in the world. It should be easy enough to make up the setlist...
