The Nine the Thirty Kingdoms has been doing a nice series on small to modest settlement generation. Impromptu Towns is a great on for determining what kinds of services might be available in such settlements. Here's a sample Talysman gives generated from a table he has created:
Ducksborough (Small Village)
exports: duck meat and bags of down
has: food/down packer, blacksmith, weekly market, tavern, priest, posse when needed
Highly useful stuff!