step one is to strip the components off the frame, and then using water as hot as you can bear and some good detergent get washing, then any really rusty bits wire brush. No holes and it hasn't fallen apart?
Good, go from there!
There are guys here who can make you decals up from old pictures, there are frame builders who can repair and modify and to be honest where you stop is up to you. The only limits are your over draft and imagination!
Just don't get any oily muck on the nice white rug!
The main awkward points may be the seat pin and handlebar stem. If they weren't well greased when fitted they may be stuck in place which - whilst not an unsurmountable problem - can be 'challenging'. Look through the forum for the (many) requests for help on this subject!
Otherwise - good luck and have fun! It's only a hobby after all