Begin by measuring a rectangle shape measuring 5? by 3 1/2?.Mark lines using a chalk pencil, so you can see it easily. Cut out your rectangle along your marked lines.
Then, fold your rectangle in half width-wise. Mark your felt at 2 1/2?. Cut your felt from the center fold to the 2 1/2? mark. Fold your felt over on the bottom.
Using a sewing machine, stitch the bottom and side of your felt piece. This makes a perfectly sized pouch for your Chapstick. Take the scrap of felt you set aside earlier and cut it in half. Loop the felt piece through a key ring, and stitch the loop on the back of your felt pouch Chapstick holder.
Now slightly round the ends of Chapstick holder pouch flap. Insert your Chapstick, and fold the top flap over to determine where your hook and loop (Velcro) will need to be. Hand stitch your hook and loop circles to the Chapstick holder.
Now stick the felties stickers. Now your Chapstick holder just needs a fresh tube of lip balm! And your Chapstick holder is ready for a key ring.