This KK USB cable works on the E53 right out of the box (with INPA, DIS etc) and is cheap.
http://www.one-stop-electronics.com/...&product_id=22
Won't work on later series cars with CANbus and ISTA D/P - you need the more expensive cable for that...
http://www.one-stop-electronics.com/...&product_id=16