Add text on a path - An example

Step 1 - Create new image
Make sure the Materials palette is displayed, and create a new image (by choosing File > New, or by clicking the New Image button on the Standard toolbar; or by clicking the script for this step) using these settings: a) set Width and Height to 200 pixels; b) choose the Vector background option; c) click OK
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Step 2 - Choose the Preset Shape tool
From the Tools toolbar, choose the Preset Shape tool.
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Step 3 - Choose a shape, set tool options
From the Shapes list in the Tool Options palette, choose any shape. And in the Tool Options palette, make sure the Retain Style, Anti-alias, and Create as vector checkboxes are marked.
Step 4 - Draw the shape
Draw the chosen shape on the image canvas.
Step 5 - Choose the Text tool
Choose the Text tool.
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Step 6 - Set the Tool Options and Color
Make the following Text Tool Options and Materials palette settings: a) set Create As to Vector; b) set Font to Arial; c) set Size to 20; d) set Alignment to Center; e) set Offset to 2; f) in the Materials palette, set the Background/Fill to any darker, solid color.
Step 7 - Place cursor over shape
Place the Text tool cursor over the top center of the preset shape (notice how the cursor icon changes to an angled "A" with a curve below it), and then click. The Text Entry dialog appears.
Step 8 - Enter text and click Apply
Type "Text on a Path", and then click Apply.
Notes and Tips:
To place text on top of a vector path without attaching to the object or path, hold down Alt and then click where you want to place the text.
To quickly modify the image so just the curved text is visible, in the Layer palette, toggle off the visibility of the Preset Shape object.
Use positive Offset values to place the text above the object path; use negative values to place the text below the path.

Learn More:
Place text on top of vector objects
Add a picture frame
Create a tool Preset - An example