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A number of people on this site have had jackets repaired, and worked on by a guy named Zoltan at this address. I have had him sew nametags on, and I know he does sew patches, and is willing to take the lining apart, so that the stitching doen't show from the inside. He does good work, but is slow, since he is a very popular alteration shop. I recommend stopping in, he and his wife let the phone go to the answering machine.
Every time I hear his name I thank of Zoltar, the fortune telling machine in the movie BIG.
Advanced European Tailoring
2114 Addison St
(between Oxford St & Shattuck Ave)
Berkeley, CA 94704
Neighborhoods: UC Campus Area, Downtown Berkeley
Zoltan is very good. Just make sure he knows EXACTLY how you want the patch sewn on, position, orientation, so many inches down from shoulder sleeve seam, etc., etc., etc.
DO NOT go to a "biker" shop. I had a lady sew a patch on OK, but found out later she GLUED it on prior to sewing.
AAAAGH!