Here's one tutorial:
http://erinrussek.typepad.com/photos...ial/index.html
It's pretty close to identical to the way I do it, but before I do anything else, I saturate the fabric with Sta-Flo and water and either iron it dry or let it dry part-way and then steam press it completely dry.
Lots of starch in the fabric makes it easier to handle and to draw on where necessary, plus it keeps the fraying down and allows you to cut smaller seam allowances.
The saturation and drying and pressing does most of the shrinking for you, too.
I also use Fray-Check wherever I am going to have to clip the fabric up to the seam allowance. :)