How To Run Linux on a USB Drive

Althack has a great article on how to run linux on a USB drive.

Pretty simple to do, and at the end of it you get Damn Small Linux on a USB key.

All that you need to get started is:

• USB Storage Device - (256mb or larger recommended using USB 2.0)
• PC that can boot from a USB Device
• Damn Small Linux (DSL) Distro
• Syslinux 3.11
• HP USB Disk Storage Format Tool

More information is available here.