If you go to your local sewing machine dealer (ones that sell the embroidery machines) They are always having classes on how to do different projects on the machines.

I would bet (because we did it) if you supply the towels, (Go to Bed Bath and Beyond, or JC Penny during a sale week) Then purchase the threads, backing etc from the sewing shop (they will help you as well, that part is REALLY cheap!), the shop then uses it as a class project and you could get a whole set for next to nothing! It cost us a couple of pizzas and sodas, they turned out great and The class was happy as can be to get dinner out of it!