As with most design issues, a lot of the answer will depend on individual
circumstances.
Including, but certainly not limited to:
        Cost
        Size of environment
        Traffic Flow
        Security Concerns
Summed up as what is your "Overall Goal"        
        


If your primary concern is COST, then the size  will obviously heavily
influence your architecture ... you may
get no VLANs, especially if you are talking about 10 users with one server,
etc.
        
etc. etc. etc.


Also - Doug - Since you mention doing it this way - let me add:
If your goal is 'simple' collision reduction, or ease of management, then
yes - making each closet / floor / 'physical area'  it's own VLAN  is fine;
and works VERY well.  This is an elegant, scalable way to manage bandwidth
and traffic flow.  I worked with a client and that is how the whole building
is done   and the LAN
infrastructure easily supports the 2000+ local users.
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