You might still find something useful here, but for more up to date formatting advice and all the latest changes, please refer to the guidelines at kdp.amazon.com.
2 - So what exactly IS a Kindle?
3 - E-books vs paper books
4 - What do e-books mean for authors?
5 - Are you SURE you want to self-publish?
6 - Front and back matter
7 - Back to basics: unformatting your manuscript
8 - Formatting your Word file for Kindle
9 - Making your e-book work
10 - E-book covers
11 - Testing, testing, testing!
12 - Publishing your e-book with amazon
Please note the advice given in this series arises from personal experience of the process, and is given freely to help others find their way on to the Kindle. Please use your own judgement and check any important matters, such as copyright or tax laws, with the appropriate authority before publishing your e-book.
Katherine Roberts, March 2011
UPDATE May 2011
Amazon now have some very helpful new help pages. Kindle Direct Help Note that these use Mobipocket Creator (free e-book building software) rather than adding the anchors and cover by hand. You might like to try both methods to find out which works best for you.
UPDATE June 2012
There is now an official free ebook you can download from amazon's website explaining in simple terms how to publish an ebook.
UPDATE December 2014
Things have moved on in the ebook formatting world with the introduction of various new generation Kindles and other e-readers running Kindle apps. Be sure to use Amazon's online Previewer (or download the up-to-date Previewer software) and check your ebook looks good on all current devices.
See the results
UK authors of all genres discuss ebooks and e-publishing at Authors Electric.
Want to get more involved? You can keep up with all the US gossip at www.kboards.com, or chat with UK ebook authors at www.kuforum.co.uk.