The video above walks through the complete process of creating a project from scratch. Here is a quick outline.
Click the plus sign and choose from scratch
Set the client from the address book picker
Enter the name of the project and choose save
Review the general information and update it to suit the project
Add billing rates either from your master rates or create custom rates
Add phases and enter your contract fee amounts for each
Add any consultants you are hiring
Assign your staff to the project
Review the billing options
Save & Close