* CD Artwork
Most of the commercial duplication/replication companies in the area will assist you with artwork design and layout but you're probably better off seeking the help of a talented, independent graphic artist/photographer. I can recommend a few talented artists if you need help in this regard. As far as I'm concerned, anything that can be placed on a flatbed scanner is fair game. I've assisted a number of my clients with artwork layout in regards to short-run CD duplication. This type of work can be as simple or as complex as you want to make it. It's hard to make any real recommendations or suggestions because let's face it, art is a highly subjective form of expression.
One of the inherent problems with CD artwork is the physical size of the packaging. I'm gonna go on record as saying I miss vinyl LP's for no other reason than the size of the album jackets. We gained something and lost something in the transition from vinyl to CD. If you need a magnifying glass to read the liner notes, that's a problem as far as I'm concerned (unless, of course, it's an artistic expression in which case... go for it).
The biggest mistake I've seen, when doing design layout, is placing elements too close to the edges or borders of the booklets/labels. Keep text, logos and whatnot well inside the borders of the booklet and tray liner. There's usually some spill-over beyond the edge of the paper border and if you position things too close to the edge, they might get cut off in the final version.
The second biggest mistake I've seen is the choice of background imagery or colors. A busy background tends to make small text very difficult or impossible to read. If it's a demo, I suggest you keep mission-critical information clear and highly visible (like contact information).
Demos can be pretty easy compared to a commercial release - as well they should be. You generally want to include contact information on a demo since your intent is to get a record contract or gig. Make sure this info is printed on the CD itself as well as the booklet and tray card. CD's have a habit of becoming separated from the case. Keep graphics to a minimum. Don't bother shrink-wrapping a demo disc. Don't put security tape on the jewel case.
A word of warning: don't pass out when you realize that the artwork, graphics, booklets, tray cards and silk screening cost more than the actual CD and the recording bill put together. Check out www.discmakers.com for some examples of cost-effective, alternative packaging solutions.
One last bit of advice: always ask to see a proof sheet or some example of the artwork before going into production. Do not take it for granted that everything is going to be perfect. The better replicates will send you a preliminary master to eyeball before going full speed ahead.