Greasemonkey user installation errors

Recently started to learn about grease monkey. For newbies grease monkey in my words, is a way to alter any webpages for your own purposes on the client side.
My first installation of user scripts started pretty bad. I couldnt figure out why I was getting the below error. Something like cannot launch editor: [Exception: component returned failure code]
After much ado, I realized the way, I was trying to install a user script was wrong. My mistake was to goto Tools: Grease Monkey: New User SCript.
I was trying to create a new user script rather than install one. So the editor was failing and calling an exception..
The easiest way to install a user script would to open up the user script in firefox, and then firefox prompts to install the user script at the top.

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