We documented a 22, 25 and 255. In each case, we put the NO. on the inside of the hull under the table, with vinyl stick on letters, then covered those with a very thin sheet of fiberglass cloth (deck cloth), which is transparent when coated with clear epoxy. Some have just put clear epoxy over the vinyl letters.
Another way, is to cut a board, rout the NO. in the board, and epoxy the board to the inside of the hull--probably the best place remains under the table. I used teak on some of our larger vessels.
Unless one is doing a lot of international voyaging, or trying to diminish fees, there is little reason to document currently. It used to be that documentation was free renewal--now the CG charges a fee, I believe it is $26. If you miss the renewal date, the vessel must be re-instated, and if out of the US when that occurs there can be some expensive implications--daily late fees.
Also many states require that the vessel also be state registered. Florida does,--if you are not state registered even if visiting, you may be asked to register in Florida...At one point officers were enforcing that near the border. I believe that more leniency is given now... State registration doe snot mean state numbers, but the state sticker should be displayed on the windshield or side window--or part of hull--mast on sailing vessels.
It used to be free renewal, no state registration, and there were some diplomatic advantages in foreign waters...most of these have been negated. Our current boat is not documented.