Well that's what were going to do here. This is one way to clean up small text. Please make sure you know Photoshop well or other pixel base program before you do this, as I will have to skip some details because it would just take to long other wise. We will also work on a 88 x 31 button. 88 Wide by 31 High.
Lets fill the background with black for now.
Use the type tool and make some small text on the button. You can write the same thing I did if you like. In Photoshop 5 You will need to render your Type layer in order to edit it. You should make a duplicate of the non-rendered type just incase you mess up. It looks like I could remove some pixels around in some areas, and brighten up some in others.