All in ConfigureShard(). Squads up to squad_maxNonWingSize stay normal squads; bigger groups become wings (cap squad_maxWingSize). The sector and raid queues each demand a minimum wing size, and mm_raidSquadFilter picks which group types may queue for raids. 

cvars.squad_maxNonPremiumSize = 12  -- squad size that needs no premium to queue
cvars.squad_maxNonWingSize    = 4   -- bigger than this = wing group
cvars.squad_maxWingSize        = 12  -- max wing members
cvars.mm_sectorMinWingSize     = 5   -- min wing to enter sector queue
cvars.mm_sectorMaxWingSize     = 8   -- max wing for sector queue
cvars.mm_raidMinWingSize       = 10  -- min wing to enter raid queue
-- 0 all (solo+squads+wings), 1 solo only, 2 solo+squads, 3 squads+wings, 4 wings only:
cvars.mm_raidSquadFilter       = 0
cvars.mm_enablePveRaids        = 1   -- PvE raids on/off
For a localhost where 2 friends want raids, set mm_raidMinWingSize = 2 and mm_raidSquadFilter = 0.

Comments

1 + 2 =
Solve this simple math problem and enter the result. E.g. for 1+3, enter 4.