This is a HUUUUGE question, that idk if I can answer satisfyingly
I write a little bit about my process for lyrics here
As far as the instrumentals, getting a crew of people with good chemistry was inherent to how we actually formed the final versions of song. Everyone knew what our common influences were so they drew from those and their own tastes to write their parts. , I just come to practice with lyrics and my own guitar part. Experimentation is crucial though, so just trust each other, think of the emotion you want to capture with the music, and keep messing around until you mistakenly or on purpose find what your looking for.
It won’t happen immediately. It takes a loooot of work and you gotta really love expressing yourself with music to feel any sort of satisfaction from it. If it’s not fun or at the very least therapeutic I don’t see the point. Ask yourself what your motivation is for making music, and figure out what you want to say.
Dont go in thinking of the final product. Come with a loose idea and be open to it morphing and changing on it’s way to becoming the final version of the song.
Maybe listen to other artists that are self taught, self recorded, and accessible to your experience with your instrument to gain the confidence to believe you can do it too. I found this in Riot Grrl music when I was first starting out but you could also research the bedroom pop girlies, Guided By Voices, Daniel Johnston people in that vein. Incredibly important music from people that weren’t formally trained but that desperately had something to say. I could think of a bigger list of artists that make you think “I can do this too!” or if people want to suggest music in the comments below feel free.
Just listen to a bunch of shit that makes you excited to make your own shit! And write a bunch of bad songs until you inevitably write a good one
Hope this helps