1. Dmoz.org
http://www.dmoz.org/

Dmoz is the most important directory for you to be listed on. It's free. But it can take months to be approved.

Here's a video on how to do it.

2. Yahoo Directory.
https://ecom.yahoo.com/dir/submit/intro/

Read the page and get started. You'll have to create a yahoo account if you don't have one. So save the log in details somewhere handy - so you can get in and edit your setting if you need to.

It is worth the $299 a year? Yes it is.