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For just 2 Mbps, another possible router option might be a 800 series router.
If you expect to route between VLANs within your LAN, most software based routers are not LAN wire-speed routing capable. For such, you'll want a L3 switch. (Some of the later 2960s, I believe, support very basic routing).
If you have need for both LAN and WAN routing, often you'll want both a L3 switch, for speed, and WAN router, for features. (WAN routers tend to provide many additional features often not available on L3 switches, for example, for an Internet connection you might want VPN, NAT and firewall capabilities, etc.)
