Over the weekend I got some more done. I rigged up a jig on my router to cut the binding channels on the body. The reason its difficult to route the binding channels is the the top and back of the guitar are not flat, they meet the sides at an angle. The idea of this jig was to minimize that problem. It definitely worked better then cutting the binding channels by hand like I did on my kit guitar, but I think my best bet would be to use this jig on a table mounted router. This would give me much better control and better results.
I wasn't happy with the joint I had where the sides joined at the tailblock, so I inlaid a strip of white binding to cover it up.
I used CA glue to glue all the binding, so that meant I had to seal the spruce with a coat of shellac. The bindings seem to fit well, not perfect, but better then my last guitar. I still have to scrape the bindings level with the wood and get rid of any tape and excess glue that remains. Using CA glue is a pretty messy job!
All that's left to do on the body is level the bindings, route for the neck, sanding, and then it will be ready for finish! This is coming along very well! Now on to the neck!