Yes, and there are a few ways you can do this with LimeLM.
Method 1: Activate when the app starts, deactivate when the app closes
The easiest way to allow a strict limit of 5 users to use your software at a time is to activate your app when the app starts and deactivate when the app finished. So your app could be installed on 100 separate computers and they can be run on any of the computer but only a maximum of 5 at a time (if you set a limit of 5).
There are some limitations of this method. A better way to do this is method 2.
Method 2: Proper "floating licenses"
With some of our larger customers we're testing our new floating licenses server. That is, we've built a small component and application server that runs on a company's local intranet.
So, let's say Company X buys 5 licenses to your program. But they want to install your program on 100 separate computers. You would then give them our special FloatingLicense server app that they can run on their intranet. Then, when your app "activates" it really activates with this floating license server. Now when the end-user runs your app only 5 licenses can be used at one time.
So this is just like method 1, except it's much more robust.
Does this make sense? If you're interested in our new floating licenses server we can give you the beta version that some of our customers are using. Or you can wait for the final version that will be out in early July 2011.
So, the short answer is yes, LimeLM supports multi-user control.