I wanted to let my kids do a back to school craft to get them ready for the new school year. What would a good project that they could use once they go back to school? I was thinking of decorating pencil boxes or folders or something.
As I was reading your post I thought of decorating folders, and then you said it! I also remember as a kid enjoying making keychains to put on the zippers of my backpack.
Do people still cover their books with paper bags? I always loved decorating those for my books. Also, you could have them make some of those gimp things. Was that what you meant Homebody when you mentioned keychains?
How old are your kids, Kimbo? I was shopping for toys the other day and saw these super cute kits to make backpacks. They didn't require any sewing or anything and were very kid-friendly.
back to school craft idea 
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