I found what I was looking for elsewhere. You can do it, you just have to stop the SBCore process from running.
On the box that I managed to run as a demoted SBS about three years ago I ended up setting the security on the relevant service so that everybody was denied access, but I could not remember which file it was.
On this post (
http://p80.blogspot.com/2006/11/removing-small-business-server-domain.html)
I found the answer. The full thread is also here (
http://forums.speedguide.net/showthread.php?t=173731). There is also a Microsoft KB article that hints at the problem here (
http://support.microsoft.com/kb/555087).
I am well aware that this is a hack, but if Microsoft can not or will not provide a proper migration method from either one SBS box to a new one, or from SBS to full AD, unless you want to do an in place upgrade on a production box on the old hardware you were intending to retire.