The town has a beautiful, sheltered location between the fjords of Grisefjorden and Flekkefjorden, and is characterized by the old, picturesque wooden houses, some of which are listed. The town flourished with the rich herring fishing of 1820-30s and Flekkefjord was an important port for the export of timber to the Netherlands. The oldest part of town is called "Hollenderbyen" (Dutch town), and it has many listed wooden houses and a unique history. Outside Flekkefjord there is a beautiful archipelago. Its largest island is Hidra where one of the many sights is "Fedrenes Minne", an excellent museum with a collection of artifacts depicting the island's history.