Before I started contributing to Airfix Model World magazine I was content with snapshots taken with a little 4 megapixel Olympus using the built in flash for illumination. When I bought the Olympus I just wanted a small camera, for casual model photography, with good macro capability and manual overrides so I could control the depth-of-field and it filled those requirements nicely.
When I accepted an offer to do projects for AMW, the first thing I had to do was upgrade the lighting. AMW requires all in-process photos to be shot with a blue background and completed models with a white background. For all but the largest models my backdrops are blue or white poster board available at any craft store. I also have larger sheets of photo backdrop paper but as they are flimsier and more awkward to set up then the poster boards I only use them when needed.
Due to lack of space, my Pace paint booth doubles as a photo booth with the pair of internal lights providing overhead and background lighting. On either side are cheap clamp-on work lights with an additional pair of photo lamps used as necessary. All lights use 100-150 watt equivalent 6500K "daylight" CFL bulbs.
My first article, published in May, 2011, was on the Eduard OEFFAG Albatros and all photos were taken with my trusty little Olympus! I've since upgraded to a Sony Alpha A33 DSLR for my magazine projects but still use the Olympus for casual shots.
Here's my rig in action. The first is from several years ago and shows some WIP shots being taken of the cowlings from a Revell 1/72 Fw 200 Condor. This is with an old tripod and hard-wired remote shutter release.

Jump ahead to last year and I've got a better tripod with an optional extension tube and a wireless shutter release which is a huge improvement over the old wired one! Here, I'm taking an overhead shot of a completed Tarangus 1/48 Saab Lansen.

Cheers,
Eric