I had some old sports T-shirts and thought this would a cool idea and I wanted a bag to hold some yarn too, so here it is.

Step 1: Materials

Your materials are.....

~ two pieces of felt (any color, but I chose purple)
~ 5' by 5' piece of cloth ( same as the felt any color
or pattern that matches with the felt)
~ an old t-shirt
~ a hot glue gun
~ thread (that matches your cloth and white thread
for the bag itself

Step 2: Step 1

Step one~ Cut the t-shirt at the bottom (so that the already sewed seam will be at the top of the bag) in an 18 by 9 inch rectangle. Then fold it in half and sew the side and the bottom with white thread.

Step 3: Step 2

Step 2~ Cut the felt into one inch strips (8) all the way down the long side of the piece of felt. Hot glue three strips together then do it again, but they should be separate for both sides of the bag. With these two long strips hot glue them to the sides of the bag. To make the handles stronger instead of just having felt there find some material like a t-shirt or something else and hot glue it on both handles. Then put felt over it again and to cover it up.

Step 4:

The felt can be hot glued on the back of the piece of cloth. Then fold over a little edge on it and sew that down. Hot glue the edges in the spot between the handles. Now you're finished!