If you use a power adapter / external display / keyboard / mouse you can keep the MacBook awake with the lid closed. Here is the "official" way to do it:
http://docs.info.apple...There are software programs that will keep your Mac awake when the lid is closed. InsomniaX is a commonly mentioned App for doing what you want.
http://www.versiontrac...I would be a little concerned about heat build up if you're running some processor intensive apps. When the lid is closed, the heat that normally dissipates through the keyboard/palm rest/etc has no place to go. I don't know if that would damage the screen or not, but I suppose if Apple has an official way of doing it, it must be okay. ;)
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