All materials used in this instructable came from the PCB Fab-In-A-Box Starter Kit which can be purchase here. You will also need to purchase some PCB Etching Solution.
Step 1: Design
First you need to design the board using a service like Eagle, Fritzing or you can even just use Adobe Illustrator if you know exactly what you want. And remember to flip the design once you have it complete before you print it out.
Step 2: Print Out the Design Onto the Shiny Side of the Transfer Paper
Step 3: Sand the Copper Plate So There Is a Rough Surface for the Design to Stick to When Transfered
Starting from this point on you should use surgical gloves to handle the copper plate and etching solution, this helps avoid getting oils on the copper and chemicals on your hands. When sanding do an extra good job on the edges.
Step 4: Wash the Copper With Some Water and Rubbing Alcohol and Let It Dry
Step 5: Cut Out the Designs and Place Them Face Down on the Copper
Try and have some margins around the design this also helps the ink stick to the plate.
Step 6: Run the Copper Plate With the Design Face Down Through a Laminator 5-7 Times Until the Plate Is Hot
You can also use a iron instead of a laminator if you dont have one.
Step 7: After Running the Plate Through a Laminator or Iron Place the Plate Into a Cold Bath and Agitate Until the Paper Floats Off
Step 8: Place the PCB Into the Etching Solution and Agitate for 25-30 Minutes or Until All the Copper Has Dissolved Around the Design
If you would prefer not to agitate by hand here is another instructable I created on how to make a agitator using an old CD-ROM drive.
Step 9: Once All the Copper Is Gone Rinse It in the Water Bath, Let It Dry and Use Rubbing Alcohol to Whip Off the Ink Transfered Onto the PCB
Step 10: And Now You Have a Etched PCB Board But You Still Need to Drill the Holes
The best way to drill the holes out of a PCB board is to use a dremel, a 1/32 inch drill bit and it would be best to use a dremel press but if you cant do that you can clamp down the dremel and bring the board to the dremel by hand to drill the holes. Good luck and have fun!
Also since the etching solution eats copper and is some what toxic you really should dispose of it with other hazardous materials and definitely DO NOT POUR IT DOWN THE DRAIN it will eat up your copper pipes!