I make my labels by using a piece of the quilt fabric folded in half, sew the sides right sides together with a thin batting, turn inside out, then use the alphabet built into my Janome to sew out what I want the label to say. I pin it in a corner of the back side before I do the binding, then hand stitch the other two sides to the backing. Hope this makes sense. :)

in a pinch, use a fabric stabilizer. I used to be a professional casket embroider.
I've used iron on stabilizer as well as sew in in a pinch. if it's woven fabric you can use cut away.
if it's light weight fabric, you're better using a cut away.

You might want to go to embroidery library, they have some nice patterns for labels.

You can also use your computer to print out your text. Adhere fabric to freezer paper with hot iron {no steam}, run through printer. Remove freezer paper and repress to set ink, cut to desired size. This in when I use decorative machine stitching with stabilizer. It is so much fun.

Quilting Text??
 

What is Quilting Text? What kind of machine do you use?

Here is the label I ended up making for my grandsons' quilt. I took your advice and bought some tear away iron on stabiliser to use with my fabric. It worked a treat and I loved having a "play" with this section of the Bernina as Ihaven't "ventured" there before! I was delighted to discover a section in my machine with little pictures and thought how sweet to put the little trucks across the top of the label. For my granddaughters I can replicate the labels and maybe put flowers or a butterfly for them. I know it's a pretty crude effort and not super-straight in more ways than one but I am thrilled with it and the next ones will be that little bit better. Thanks for all the advice.