As soon as you enter Minish Woods, keep heading right while fighting off the octorocks until you get to a fork in the road. Head down towards a tree stump while fighting off all of the Green Chu-Chus and you will hear someone calling for help. Head back the way you came and you will see a talking cap being attacked by a few Octoroks. Kill them and he will ask to join you.
The caps name is Ezlo and he will come in handy during your journey across Hyrule. Unfortunately, this cap is a little rude because we walk to fast. He will jump on your head and stay their for the rest of the game. Now head to the tree stump again. Ezlo will tell you to get on top of the stump. He explains that the picori are tiny and that this tree stump will make you the size of a Minish. He will soon utter some magic words and you will be shrunk down in to the size of a bug.
Next you should head to the left through a log until you come to a pond. Since you can't swim until later in the game, you will have to wait until the lily pad gets to you and jump on it. RIde the lilypad to the section of land to the north. You will then come to a dirt road littered with twigs and acorns. Follow the path and you will enter the Minish Village.