In my experience sadly your best option for work like that is to farm it out to a laser shop. A spindle is very difficult even in hard/dense woods (forget about soft woods or ply) to do very fine anything because the tip of the tool is simply rubbing even when you use something like a carbide insert. We have tried fine lettering with single flute insert V bits as well as solid carbide engravers and multi-flute and its nearly impossible to get an acceptable result regularly if at all.
The finer and shallower the lettering gets the more critical material thickness and so on becomes. On top of the rubbing, you start getting into hit and miss situations when you start trying to cut down in the .010" depth range. Then there is the issue of the small elements of the text splintering off and detail being lost which would be an even bigger issue in ply.
So between the setup time, and the failure/reject rate, shipping the parts to a laser shop that drops them on and lasers the part in a minute or two leaving a dead clean end product just makes more sense and the fine detail is beyond compare.
Just my $0.02 based on our experience.