I use either the standard 1/8" pegs or the 5/64" pegs for my small boards. I buy my pegs from but it recently (year or two ago) changed hands, and the prices went up (shocking, I know) but there is still a good selection of metal pegs.
I will usually buy the pegs I want to use first and then space the holes at different distances to find the minimum spacing for my fat fingers. The first thing you need to do is when you are making a smaller board is to ensure that the players can actually get their fingers between the pegs when the pegs are next to each other. It shows very closely how they would look when cut. I am at work and don’t have time to edit it, but it shows why I like using Inkscape for the single line fonts. Heres a message I sent someone a bit ago. The single line fonts are designed so that the cutter follows a single path of the letter in one direction, then reverses and “backtracks” keeping to the original path it followed going forward. BUT! I do use Vectric V-Carve Desktop for some stuff now, and the CamBam single line fonts sit on my computer as do all of the other fonts, so I can use them in both programs. These were designed using Inkscape and g-code created with MakerCam (I downloaded the standalone flash program and the MakerCam program and run it locally now).