Site with two languages

I'm taking the opportunity to build the website in Joomla 1.6, so far it is simply superior compared to 1.5.

One of the requirements of the website is that it has to be in English and Spanish. I have no idea how to do that and I have avoided to try since most templates have an option to set the menu, which makes impossible to have a second menu in the second language. I have accomplished this in the past (the website in a second language) using a subdomain e.g. domain.com and spanish.domain.com but this is more complicated and I know there should be an easiest way.

I would like to know first if using the cherry template I can have a second language, if possible I would like to know what are the basic steps to have the site in a second language such as how to display a second slideshow in the frontpage when the language is switched, of course I know that I need all articles written in the second language, etc. What I need are the basics so I can have an idea and follow some general directions.

Any help is greatly appreciated. Thanks