Wasn't planning on making it so small, but the file ended up being GYNORMOUS anyway. So I decided to split it into a few smaller parts. This is part one, which gets you the piece of cloth you start your loliband with.
NOTE : I forgot to mention in the tutorial, you can make the loliband with really cheap cloth! Make sure it's the non-stretchable type. I've had disastrous results with the stretchy ones...makes the decals go all out of shape. You can make it with scrap cloth even, if you got some