I actually think the text has been warped which is why its an odd shape. There is a better way to do it in PS which actually follows a circle, but being at work I wouldnt be able to list how it is done now.
As for the patch, I tried to get to get grass done similarly to yours and it ended up coming out in just 1 shade of green. You could try changing the colour of your camo or just use a single colour as its a patch camo detail is not tooo important. Furthermore, most of the time whoever does your patch wont have the font you use, so try finding something you like and seeing if they will use it, if not save a PSD without text so you can change it afterwards to something more common.
I use
www.dafont.com for fonts
Plus, I use
stitchmeup.biz the website is kinda bad but they make good patches.