OK so time for part 3! Now it's time to assemble the squares for the bag.
1. Take a fabric circle and run a long running stitch around the perimiter 1/8 of an inch in from the edge using your tacking thread.
2. Place the smaller cardboard circle in the centre and pull the running stitch so that the fabric gathers around the card. Press with an iron.
3. Remove the card and press again. Tie off the gathering stitches.
4. Place the circle gathered side up on a table. Place a wadding square and then one of your 4x4 squares in the centre. Fold over the edges of the circle to enclose the square. Pin in place.
5. Using a matching colour thread stitch around the curves keeping your stitches as invisible as possible.
6. If you want to you can add a decorative running stitch around the curves using 3 strands of embroidery cotton being careful not to come through the back of the square. (sorry this picture isn't great i forgot to take one of this step)