I finally put up what me and my friends have been working on. We only had a week to write and record it, but I always want my music to sound better quality. All we used was my Macbook to record each track and make an attempt to have them in synch, but that has to be a better way. If we play it live it sounds 10 times better, but on the computer it sound's not that great. I want to know what's the best way to record minus buying equipment that would make me broke!
With a basic computer mic, there's just no way you're going to get studio-quality stuff. A better mic might help, but you'll still be using your computer's sound card.
That said, if you want a basic package to record electric guitar, it shouldn't cost you a grand or anything.
I bought the Lexicon Lambda, which is a USB powered preamp and analog-to-digital converter. I think they're around 150 USD new. Then I got a Shure SM-57, the essential electric guitar mic, for like 70 bucks on ebay, and I've been able to record some pretty good-sounding stuff. Check out demo 2 on my profile if you want.

Also, using something like Cubase LE (which comes with quite a few of the USB or FireWire audio interfaces) will allow you to use the metronome so you can record stuff right in time. Or you can just use a real metronome.
Good luck!