Here are the instructions on how to create iPhone Voice Memos [iPhone OS 3.0]
Tap to launch the new Voice Memos application from the Springboard
When the voice memo app opens you will see a microphone and a VU meter. At the bottom left there is a red record button. At the bottom right there is a list button.
Now to record a new voice memo press the Record button.
You can use the Pause button at the bottom left of the screen to pause then restart recording. Once you are done recording your voice memo press the Stop button at the bottom right of the screen.
Press the list button at the bottom right to view your previously recorded memo
To share a memo with a friend press the Share button at the bottom of the screen and tap the large Email Voice Memo button to open a new Mail message with the memo attached as a m4a audio file.
To view more information about the memo you can press the blue circular arrow button to its right
From the Info window you can label, trim and share the memo.
You can also create your own label. Press custom to give the memo your own label and once you have entered a name for your memo press the Label button at the top left. Then press the Info button at the top left to return to the memo details screen.
To trim the recording click the Trim Memo button. You will see a blue progress bar with a yellow handle on the left and on the right. Drag the handles to set the start and end of the clip. Press the play button to confirm it sounds ok then press the large Trim Voice Memo to finalize your cut.