When I first got my dehydrater I had a lot of fun experimenting with drying all kinds of different things - as a result I had a bunch of dried habanero peppers to find uses for! I dried the habaneros whole, stem and all and then to prep them for this (or any recipe) all I do is remove the stem - I love the heat so I leave in the seeds but you could remove some or all of them if you like. The number of servings will depend on how you use the sauce - you will end up with around 1 cup and a half or so