We have started to offer video services without breaking the bank. We are using a dual scaler switcher VP-727 Kramer electronics that gives us 8 inputs, a pair of Canon GL2 camcorders, a few low end projectors and a pair of fast fold screens. So far our clients have been happy with the results. We can't take on every contract in our market but our investment has been well under $20,000. The projectors and screens alone have paid for them selfs many times over in the past 2 years. Generally the gigs have been paying for the equipment as we buy it.
The setup we are using is limited. The switcher does not do any form of keying or downstream key. It has limited built in titling which is pretty useless. The transitions are pretty limited and to get a clean switch you must preview the next source first. We generally operate at 1024x768(the projectors native resolution) but the switcher is capable of 1080p. The inputs can be anything from SD video up to full HD. There is no SDI or HD-SDI support but it will take Y/C, component, RGB, RGBHV, RGBS. For monitors I'm just using a pair of cheap LCD computer monitors.
I've gone with all HD-15(VGA) cables with various breakouts. On some jobs they just feed the projectors. On others I use them sorta like a poor mans "triax" carrying y/c video, intercom and video preview(but not power ofcourse). Lots of cables, adapters and amplifiers are a must. Don't forget to factor that into your cost.
I'm also doing video production on the side so I'm looking at picking up a pair of Canon XL-H1. They seem to be the best bang for the buck on the market today. They have component out and HD/SD-SDI for when I upgrade to a real production switcher. The only thing I don't like about them is the dinky connector for the component out and the placement there of.
On the last job we ended up adding a scan converter to our inventory. The client wanted everything recorded to DVD and the VP-727 doesn't do SD interlaced out. We just recorded to a consumer grade dvd recorder which worked fine. As a backup both cameras were recording to tape and I had a copy of there power point presentation. It wasn't till the night of I found out they needed a highlight real edited down and shipped out to there home office for a board meeting 3 days later. That would be easy if I didn't have to edit on a laptop in premiere. Which took a day to transfer the tapes to and rip the DVDs, then I lost another day when we found out it had to be shipped the day before...
The biggest problem I've been having is finding skilled people to operate the cameras and switchers. We are in a very limited market that is a days drive from anywhere.