How To Install Red Hat Linux Onto a USB Drive

A have faced recently a typical situation: a company-issued laptop with preinstalled Windows and a need to run Linux on it. To avoid all IT issues, I have chosen to run Red Hat Enterprise Linux (RHEL) off a removable USB drive. The installation was certainly not trivial, so here is the list of gotchas for other folks out there:

Now you can boot from the USB drive. Enjoy!