Etsy is one of the best places for a small business to sell products on the internet. The only limitation is what can be sold on Etsy---for the most part handmade products and vintage items.
Etsy is a a community of like minded cottage industry small business people who support each other through advise, promotion, and no nonsense business ethics. Etsy itself supports it's community of shopkeepers with blogs, mini widgets and programming, and advise on photography, postings, and sales.
Shopkeepers are encouraged to promote each others businesses through circles and treasuries, where favorite items are listed in groupings that can be viewed and emailed to potential customers. Etsy sends out emails to subscribers featuring products that frequently show as sold after the email is sent.
With all the support you receive at Etsy the .20 listing fee and the 3.5% commission fee is reasonable. And, unlike places like Ebay, you're treated like a real business owner, it is your responsibility to pay the fees on time; they don't automatically deduct out of your account.
Your sales are immediately credited to your account, unlike Amazon. And you choose what to charge for shipping.
Listing couldn't be easier or more helpful. And your store front is a beautiful thing. For any small business selling items that fall into the Etsy categories, Etsy can't be beat. It's a big site with a small town feel. And a fair and reasonable place to do business.