From: Macworld ~ How to make a bootable Lion install disc or drive
Before you go updating your Apple iMac or MacBook to Mac OSX Lion go read this handy guide to creating a bootable USB for that occasion where you need to totally reinstall your OS. You can reinstall this OSX download for up to five computers you know.
Anyway, the kicker is that you can only get this latest OSX version priced at $29 which Jason has told me runs much faster than the old OSX from the Apple App Store. The problem is if you go ahead and do the install from the App Store the way they want you to you wind up deleting the installer program as part of the process.
Instead of doing that go get a 8 gig USB Drive and follow this handy dandy article to create a useful fully bootable backup OSX Lion install. Because you never know when or where you might need it but if you don’t have one chances are you will suddenly find yourself needing it.
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