I would say first step is get to know your camera. What are the features it has? Does it have settings you can tweak? Macro setting is a must. Do something besides "auto" which most people tend to rely on with their digital cameras.
I also recommend a tripod. I prefer white or black backgrounds but I think it's a preference. Definitely keep it simple. I don't have a photobox, my kids would destroy and I don't have anywhere to store it. Take a BUNCH of pictures of all sides so you should have 3-4 that are good enough.
Watermarking - I use picnik.com It's free, easy to use.
Last, practice practice practice.