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You may want to get the "developer" access so you can install FBreader. This will allow you to read many additional formats on the iLiad, such as RTF, and I like the interface better than Mobipocket or the HTML reader the iLiad ships with.
But there's no need to convert most PDFs, as others have said. You can easily zoom in to trim the margins, and use "continuous" mode to make it easy to scroll down pages. If the type is especially small, you might want to use landscape mode. There are also some modified iPDF readers created by the developer community for the iLiad that give you other options, such as column navigation or a full-screen mode.
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