I made a rustic wood flag earlier this month, using cheap, rough wood from Home Depot. Today, I took a 2nd shot at the same project.
This time, I used wood from a shipping pallet I picked up for free. After sanding off the dirt and ink markings on the palette wood, it ended up looking better than the cheap Home Depot wood. In fact, it looked too good. I was going for "rustic" so I had to rough it up. The white stripes are bare wood, the red is cheap acrylic paint, and the part that is supposed to be blue is just burnt with a propane torch.