? Ahh, you need a complete recording how-to. Whew! Maybe let's take it one step at a time. I'll try and answer all your questions in the following, if I miss anything or you need clarification on anything, don't be scared to ask follow-up questions.
What is recommended a decent Sound Card?
These days many manufacturers do sound cards good enough for recording. M-Audio, ESI, Edirol and many, many more. These are the kinds of interfaces you'll find in music stores, not computer stores. The general rule is stay away from Creative Labs and anything built into the motherboard of your computer. While perfectly adequate for gaming, multitrack audio recording of a semipro quality or better puts a lot of stress on a sound card and these "gaming" brands have been known to cause many problems with professional recording software as well as being lacking in sound quality.
Pro audio interfaces come in many different formats and with different options. The main considerations you need to take into account are the interface type (USB/USB2, FireWire or PCI), and the input and output connections.
Interface type
PCI is the best interface as it can handle the largest amount of data (done properly, easily 16 in and output channels simultaneously), but most of us never need that kind of throughput unless we are recording a band live. FireWire is used for external interfaces up to about 10 channels, but can be a little finicky about the chipset in the computer. USB2 has the same capabilities as FireWire and is more forgiving of chipsets. USB1 is more limited, but is more than capable for the usual needs of two in, two out recording.
Inputs and outputs
Number of inputs - As mentioned, you can have many inputs and outputs, but for most of us in or own home studios two in, two out is enough as we are usually only recording one instrument at a time, and aren't recording drums. Obviously if you need more input channels to do these things, then go for it,
Connectors - The more budget interfaces will often have RCA connectors (the same ones used in most Hifi and audiovisual component systems). They work, but you'll often end up using adaptors to connect the standard plugs used in the music industry.
The most commonly found connectors are the 1/4" (6.35mm) Jack (or "phone") connectors - the same plugs as you will find on any guitar cable. These come in two varieties: TS (Tip-Sleeve - like the standard mono plug used for guitar leads) and TRS (Tip-Ring-Sleeve - the "stereo" plugs you will often find on headphones. The TRS type are sometimes used for stereo inputs and outputs to save space, and if you have those, you may need adaptors or special 1TRS - 2XTS cables to connect to mixers or monitor speakers.
The last type are the XLR (or Canon) plugs, which are the large heavy connectors used for microphone cables and other "balanced" connections (don't worry about that now). If you are going to use microphones you'll need one or two XLR inputs. Which brings me to:
What the hell is a pre-amp??
Its a special amplifier used to boost the
very low output level of a microphone to a big enough level to be usable by recorders, mixing desks and amplifiers. Mixers will usually have a few built in and some sound cards will have one or two as well. They are very important as they need to boost the level a LOT and any noise (hiss, hum, etc.) they make will be amplified many times. You also get a variety of separate microphone preamplifiers (sometimes called simply "mic pres" or "preamps"), which are often better quality than those that are fitted to relatively small devices like soundcards (and can be priced up to hundreds of thousands of Rands!). For a start out setup, don't worry about the separate ones, one or two built-in types will be fine.
How do i connect my instruments? straight in the PC or do i put a mic in front of the amp?
It depends on the instrument. Electric guitar, the amp and speakers are very much part of the electric guitar "sound", so traditionally they have always been miced up. However, a lot of newer amps have a speaker emulated (or simulated) output which lets you plug in direct and get a very similar sound. It also lets you plug in and keep the volume low for late night recording. Modelling amps and preamps like the Line6, Boss nd Vox models simulate the sound of a variety of valve amps and their speakers too, so Even if you play out with a big Marshall, it's handy to have one of those for recording electric guitars.
Electronic instruments like keyboards can be plugged straight in (called "Direct Injection" or "DI"), as can bass guitars.
Best way to record acoustic instruments?
Microphones! Your condenser mic you mentioned is a good start, but a Shure SM57 or two expands the possibilities a lot.
Anyway, spent way too much time on this - ask if you have more specific questions.
