Have all your equipment and ingredients out and near you.
Using a rolling pin, roll out the yellow fondant. It should be approximately 1/4 of an inch thick. Dust your surface lightly with cornflour to avoid the fondant sticking to the surface.
Place the template over the yellow fondant, and with the help of an exacto knife and ruler, cut a border around the temlate a few mm wide.
Remove the excess fondant, wrap it tightly to avoid it from drying out. Carefully move the cut out shape onto a cake board to let it dry out a bit.
Now, roll out the red fondant, the same way and thickness as the yellow fondant.
Place the red shape over the yellow cut out fondant. Adjust it so that the yellow border is even all across.
Using a knife and ruler trace the rest of the design.
Remove the excess red fondant, with the help of the knife.
Adjust and clean the corners and edges by pushing the fondant using a paint brush.
Lift the red fondant slightly and brush the yellow fondant lightly with some water so that red fondant can stick on top. This is not needed if the fondant is sticky.
Let this entire design now rest at least a day or two so that it can dry out and become easier to handle. Cover it with cling film.
Place on the cake whenever you are ready to.
