I explain initial steps to install Laravel on Ubuntu 14.04. Please note that I do these tutorial as I try to do the task during my development, so there may be trial and errors involved in my steps. Surely I go back to previous step if I face an error, correct it and move on.
sudo mv laravel.phar /usr/local/bin/laravel
sudo chmod +x /usr/local/bin/laravel
sudo laravel new blog
sudo chmod 777 -R ./
sudo php artisan serve
sudo apt-get install php5-mcrypt
sudo php5enmod mcrypt