Here's the ConSafo publishing experiment, which is the brainchild of
Gordon Atkinson. In summary, he published a book in the usual way
that was remaindered pretty fast, and bought back the leftover copies
which he now sells directly (but his living room is full of boxes).
For his second book he's selling advance copies; if he sells enough,
he'll actually publish it. The model as he's done it relies on the
goodwill of purchasers, since we're not actually sending money, just
emails committing to take x number of copies. Otherwise he'd need
some kind of fancy refund system in place. Still, it's lightweight,
straightforward, and friendly, and anyone with broad blog readership
could do it.
http://consafo.com/blog/
Leela