Hello
Am thinking of upgrading my windows 7 home basic to another version, and would like to know if whether in doing so I will need to get a new license, and also how to proceed with the upgrade process?

Yes you will need to obtain a new license. You can pick up an upgrade version and upgrade your existing OS by dropping the disk in and following the prompts. Here is a break down of the difference between the three:

http://www.microsoft.com/windows/windows-7/compare/default.aspx

If you do not need XP mode, bitlocker, or to join a domain there really isn't a compelling reason to spend the money to upgrade that I can see.

thanks for the advise + compare link, think will stick with my current version for some more time then if I will need to get a new license :(