Your on the right track! Start off by working with what you have, make sure all your components are in good shape (plugs, points/Dist. wires, carb exhaust etc...) then tune it to get the best performance. Then from there it will start getting a little more expensive.
The right combination of Carb/Intake/heads/cam/Exhaust will hold the key to the major performance you will get out of the motor. Then botom end if in good shape will be good, but the variables will be the heads/cam for the most part, and then the rest will follow...
So eventually changing the heads will be the biggest factor and one of the most costly... Maybe pict up the new book by Jim Hand Building Max Perfomance from a Pontiac Motor (something like that?) as he explains in detail much of this information, along with proven combinations. $14 on Amazon.com
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