Of my five startups, two have been virtual. I am gearing up to start a virtual team with my new startup. What I like about my virtual teams is that it makes the best use of each employee's time, it forces employees to communicate in ways they may not if they are in an office together everyday, and each employee feels like they have some control, which leads to a less bureaucratic environment.

All that said, you have to have an absolute level of trust in each employee, because not having the team within arms reach can leave you feeling a bit uneasy at times.