I took a cue from the backpacking community. They take everyday items (like spoons) and cut them down to make them lighter and more compact. So after a few attempts, and errors, I came up with a tool kit that is compact enough to fit into an altoids tin.
I've been using this kit now for 8 years and it has saved my butt, or a friend's at least five times. The tools are everyday tools that can be bought at any hardware store and the bike specific tools are readily available at any bike shop. The modifications are easy requiring only a bench grinder, a vise, and a hammer. If you have one, a dremal tool makes the job a bit easier.
Items needed ...
Altoids Tin
8 and 10mm wrenches, Open or Boxed
Hex wrenches 2 through 6mm
Two, 2-way screwdrivers
6 to 8mm adapter (if needed)
Park SW-7 spoke wrench
Park CT-5 chain tool
Other items if desired...
Presta-Schrader adapter
Glueless patches
Glueless Tire Boots
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Signing UpStep 1The wrenches
Take the 10mm and measure 3-1/2 inches and for the 8mm measure off 3-1/4 inches. Mark with a felt tipped pen. Cutting the wrenches may be done in two ways. The easiest way is a Dremal tool with a cutoff wheel. The second requires the use of a bench grinder. "Score" an area about 1/4 of an inch above your marked measurement. Mount the wrench into a bench vise with the end to be removed above the vise jaws. Take a hammer and give it a good whack, the end will break off. Use the grinder to finish the end back to the marked line. Smooth the end so that it will be comfortable in your hand.
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I agree with the minimal Allen keys... just take the most common ones (2, 2.5, 3, 4, 5 mm) and leave the 6mm at home. It's not as common on new bikes anymore, and if you need it or a bigger one it's time for some maintenance! :O
Some small additions that are very useful are a 4" crescent wrench (gasp!)... it comes in handy for a lot of things besides nuts and bolts and is small enough to replace the modded open end wrenches. Another useful addition are a pair of mini Vise Grips (the smallest ones available, about the size of the 4" crescent). Adjusted to the right tension (and the proper sleight of hand) you can un-crimp lead cable ends for reuse, and pull on the derailleur wire with the right amount of leverage to securely tighten it.
With bicycleflyer's pack and the above additions you can handle most mechanicals on and off road, with the exception of hub work.
Sorry
Good luck