Write your script. No matter what kind of no-budget film you intend to produce, you need some starting point. You can write a full-blown, Hollywood-type script or you can just make some general notes about scenes, settings and actor motivation. You may not keep to the script completely -- most directors do not -- but it will at least give you an outline for your film.
Assemble your equipment. Check your video camera to make certain everything works properly. Get a lot of extra batteries for the camera; you are not going to want to be on location and have to stop to run to the store for batteries. Hook up your microphone and check to see how well it picks up sound in different settings. You will get better sound in a closed room than on a busy street, so you need to know the capabilities of your equipment. If you plan to shoot any scenes using a tripod, teach yourself how to move your camera on the tripod.
Scout locations. You may not be a Hollywood film mogul yet, but you still need to go through similar steps to prepare your no-budget film. Think about the scenes you will shoot and look around for the kinds of locations that will help tell your story best. If your script allows for outdoor scenes, capitalize on this by using public spaces such as parks or city streets. No matter how good your lights are, you will be able to get better lighting outside -- especially in the daytime -- than inside.
Round up your friends as cast and crew. The best place to find actors for your no budget film is with people you know. They will be more sympathetic to your project and more tolerant of working with you than strangers will, and they are often willing to work for no payment. If you are shooting a documentary, pick out your friend or family member with the best voice for narration. Pick a friend or two to help you with the technical aspects of your film: You can direct better if you have another person doing the camera work, and get a friend to hold and maneuver the microphone. If you can, find someone who will help get your actors in their spots and help them out before, during and after shooting.
Shoot your scenes. You do not need to shoot everything at once or in chronological order. If you have four non-contiguous scenes that all take place in the local park, shoot those together to save you from having to return. You may only be able to round up certain friends at certain times, so do all the shooting you can with them while you have them. Shoot other scenes around them.
Upload your video to your computer and edit your no-budget film yourself. You may need to have someone else help you with this to give you a different perspective. You do not need to use every bit of video you shot to make a good no-budget film.