How do people signup to be an affiliate?

Just spent hours trying to fill in the gaps about the whole Affiliate plugin. To me, the Usage page starts in the middle and doesn't address what I thought were some pretty obvious questions: How do people signup to be an affiliate? How does it work with integrating into the Membership plugin? To me, the questions were asked many times in these forums but never answered straight out.

In my searching I tried to document the exact procedures in a quick outline. See below ...