With Background colour set to white open a new file.  Make sure that the mode is set to RGB and the Contents is set to Background Colour. (Black)

1 – The Company Name

Start by using the Text Tool and typing the main word of your company name. Select a darkish or midtone colour, and choose a serif (curly-edged) font such as Palatino Linotype or Times New Roman. Use all capitals, and slightly enlarge the first letter.

2 – Creating the company logo sub-text

Using the same font, put the rest of your company name, or some other descriptive phrase, underneath the main header. (Make sure to use a new layer) Use a much smaller font size.

The horizontal lines help to separate out and highlight the text of the company logo. An easy way to make a line is to use the text tool and type an underscore ( _ ), then press Ctrl+T (or use the Move tool)  to transform it into an elongated shape.  (Make sure to use a new layer)

3 – Adding a graphic element to your company logo design

With just words and lines, your logo design will look dull.

Experiment with different shape and drawing tools to recreate the graphic below. Hint: Draw several ellipses and delete portions using the selection tool.

4 – Adding a vertical border to your company logo

A black border like this will help accentuate the colours in your logo design. With your background colour set to black, click Image > Canvas Size, and increase the height of the image a bit. The extra space on your logo design will be filled with the background colour (black).

5 – Watermarking your company logo

Choose a very light grey colour, select the Text Tool, and write "jk" in Wingdings font. Make the font size very large. "j" and "k" in Wingdings show up as nice characters, which make a nice watermark. In the Layers window, drag this layer almost to the bottom of the list, so it doesn't cover up any other layers.

6 – Adding some effects

Add effects and filters following effects to some of the layers: Bevel, Emboss and, Drop Shadow.

Change the Comco header's text colour to blue, and make the horizontal lines orange. Save as H:\Course\P3\Comco.psd

7 – Logo Exercise

Using the ideas learned above create your own company logo.  The logo must include a simple graphic drawn by you, a border, a watermark, and text effects.  Be creative, but remember that the best logos are simple and easy to read.  Save as H:\Course\P3\Logo.psd