What are the minimum requirements for an MS WAN

My bro has a job working for a small company. There are about 8 PCs running various versions of Windows. The company is splitting into 2 offices in different locations, and they need some kind of network between them (they’re not currently networked at all). He knows how to set up a LAN, but he’s looking for advice on making a WAN. My knowledge of this is rather shaky, so I thought I’d see what the SDMB could come up with.

Questions: if he gets broadband (I’m presuming DSL) in each location, how does the LAN share the cable modem?

Would it be obligatory to get a DHCP server and use one machine as a gateway with a single IP address?

What’s the cheapest firewall available?

When setting up a WAN, I’m guessing the data is encrypted while travelling. Is it simply a case of pointing one network at the IP address of the other network?

It’s a small company in the charity sector, so they’re looking to do this as cheaply as possible don’t have very much money. Any help much appreciated.

The big question is, how far apart are they?

OK, I guess our definitions of “WAN” are different.

Anyway, supposing that the offices are on different sides of town (or the state, or the world) the best option for your brother is to buy router(s) with a built-in VPN client, like this one: http://www.netgear.com/products/prod_details.asp?prodID=129&view=
You hook these up to your cable or DSL modem and both offices now have a firewall. You tweak some settings on both ends and a “VPN tunnel” is created that allows both LANs to act as one. All traffic from “point to point” is encrypted.

NOTE: I’m not recommending that particular VPN firewall - it’s just an example.

Thanks for your input. “VPN” would indeed have been a much better way of putting it.