Hi Johnny, I just use the built in mics and try to place it somewhere in the venue where it 1) won't get nicked and 2) will pick up the right amount of signal. Getting the recording level is important but I usually ask the band's manager to operate it and I have explained how it all works. You can produce mp3s or wav files. I use Audacity to edit them but that is just one aspect of it- as you say, there is the practice side of it and I use it for song ideas too. Also, when I give lessons, I record the lesson and burn it to disc for my student so that he gets to review whatever we cover. I haven't bothered with a line out but maybe I should give it a go, hold on though, we only have the vocals and keys going through the mixer so maybe I wont.