work from home or rent an office?
srn: Right now I WFH for health reasons. I have my work laptop in the front room and my personal computer in a different room. Only problem is the wii is in the front room ;) but I am not working full time right now so it's ok.
My team for many years had 3 people, all working thousands of miles from each other.  If you are in the same town I suggest meeting up on a weekly or daily basis; I would do it at the beginning of the day or week to set goals and parse out work. Also have an IRC or other chat room for when you aren't together.