You will want to have an Internet connection while using LS. However, you can get around it. To do this you would need to install LS on a PC with an Internet connection, like the one you are on now. Boot into LiteStep once and download all of the modules you would need from the Internet. Then you can install LS on your other PC and copy your LS folder over from this PC to the other. Now...every time you install a new theme you will want to copy the theme folder over and the modules folder over after you go into the theme for the first time. Without doing this LS will not work for you and your setup.