I've been working remotely on asset tracking software+hardware for a little over a year with an exclusively remote team. This is exactly what we do. A few of us

I've been working remotely on asset tracking software+hardware for a little over a year with an exclusively remote team. This is exactly what we do. A few of us are in Maine, we've all met in person, and configurations of us get together every so often, but we all work from home. We try to refer to code exclusively by commit hash, and issues exclusively by ticket number. Commit messages often refer to tickets, and our ticketing system provides notes on dev progress and further commentary on (sets of) commits. We use email for archive-worthy discussion and Skype for instant messaging and calls. We have a weekly ~1 hour dev meeting. (And we're fully insulated from direct customer interaction, with wonderful management and (on-site/in-the-field) ops people, who enable us to concentrate on design, implementation, and process.)