Bourton-on-the-Water is in the Cotswolds on the Fosseway (the A429) about 25km North of Cirencester.
Driving from Cirencester, just follow the A429 North, you'll pass signs saying you've entered the village. From the North, just follow the A429 South.
On foot is fine.
Bourton is quite attractive as a family destination. In the charming centre you'll find a lot of attractions, a.o.:
Shop in the small shops.
A couple of pubs do food and drink
The Duke of Wellington, Sherbourne Street ('From the centre of town, head up Sherbourne Street, next to river. After 100 yards the pub will appear on your right, over a bridge.), 01451 820539. Mediocre pub need reviews, serves food from 12 til 2:30 and in the evening.