I just googled it and found so many pages http://www.google.ca/search?hl=en&q=How+to+Create+an+Ebook&btnG=Google+Search&meta= I am in same position as you i am making my first Ebook as well and Google is your friend my friend.
Are you asking how to "write" an ebook, or are you asking about the technical part of actually "creating" the ebook? If you're asking about the technical part, I have a free way to create a PDF document that will preserve your links. First, download Open Office at openoffice . org Then, watch this free video that I found on how to create the book: <object width="425" height="344"><param name="movie" value="http://www.youtube.com/v/VE9jdA5T9SM&hl=en&fs=1"></param><param name="allowFullScreen" value="true"></param><param name="allowscriptaccess" value="always"></param><embed src="http://www.youtube.com/v/VE9jdA5T9SM&hl=en&fs=1" type="application/x-shockwave-flash" allowscriptaccess="always" allowfullscreen="true" width="425" height="344"></embed></object>
Oops, the video didn't embed. Sorry about that. The link to watch it is www . youtube . com/watch?v=VE9jdA5T9SM Sorry for the jacked up link, but since I'm new this forum won't allow me to post links yet.
You can also print pdf from your MS Word. Some tools like PrimoPDF help you to do so. Open Office is a direct way to export. The main thing about ebook is content. First do the writeup, then worry about the exporting.