I started with a simple design I created in Illustrator. The overall size came out to be approx. 1.5" inches around. Don't forget to REVERSE THE GRAPHICS before you print them out on fabric transfer paper.
I ironed the graphics onto a piece of smooth, soft 100% cotton fabric. Next I ironed a sheet of self-adhesive backing. Cut out the labels in any shape you wish. Finally, I ironed the labels into my daughter's sweatshirts & jackets. I would recommend using a zig-zag or straight stitch to secure the edges. We all know these garments will be washed often.
For more ideas on garment labels, try this simple project - Back-to-Cool Labels - Part II.