I'm helping a friend out trying to get his phone out of safe mode. I had the same problem and uninstall the last app and it worked for me. For him I did the same, but it is not working and it says:
MobileSubstrate/did not/cause this problem: it has protected you from it.
Quite don't understand this, if someone could help explain that or help to get out of safe mode that would be great!
MobileSubstrate forces you phone into safe mode when the springboard crashs by disabling all apps which support extensions. Hence it prevents unresponsiveness and such.
Anyways, if he's on 4.0+ take a look through his apps and delete anything that is not compatible. Check the compatibility list on here for help with supported/unsupported.