I'll see if I cant find it, but some of the youtubers I watch (Baertaffy and Mathasgames) both talked extensively about how they set up and did their podcast. One of the main things I remember was essentially trying to get everyone to record their own audio, then dropboxing it to the main editor, for the best quality. Other then that, just trying to get good mic/speakers and recording through one persons computer.
Editing wise I used Camtasia for any multiplayer videos I did, and I bet you could do the same for a podcast. Although sadly camtasia isn't cheap. I'm not sure you could just do it in Movie Maker.