I had her pick out all of the paint colors and I sent her over to dafont.com to pick the font, which I downloaded for FREE. The hardest part was deciding what colors to use where...I wanted to make sure there was a good balance of all the colors she picked. Then I just painted all the backgrounds on 8x10 canvases, printed and cut out the letters at the size I wanted, traced them onto the canvases, and painted and outlined them. The ribbon is attached to each canvas back using a staple gun.
This was my first go at canvas letters and the project was a lot of fun...once I got over the initial panic attack of committing to something I've never done before :).