You might try Jolson Embroidery..they have a couple of redwork or outline type fonts that are small and they are fairly inexpensive. I have purchased three of them myself and some are about 1/4 inch (6mm).
Embroidery fonts plus has a font called Running Stitch. You can make it any size you like. This is a sample of it.
There is a running stitch small font at Yummy factory - not free though.It is the Story Blanket font in the Font & Monogram section pg 8. (Sorry couldn't get the link to go directly to the page.)
There are some quilt labels somewhere in DBC i thinkhugs