Buildings come in four basic types.
Shacks cannot be constructed. They are placed by workers who don't have a place to live in your town. They reduce your town value, so it's worth building even basic buildings with beds in for your workers if you're trying to have the best town possible.
Buildings such as log cabins, wood, stone, or wattle and daub structures are the staples of the game.
These have a single entrance by default (which can be moved with the door button when you're adjacent to the building in question) and anything but the log cabin can be given windows by dragging them to the outside of the walls.
Additional doors can be added to buildings by dragging them to the outside walls.
Farms are much like buildings, but they are fenced instead of walled, have no roof, and, of course, have tilled soil on the ground.
Farms can be larger than normal buildings, and are used to house fields of crops for your farmers (or you) to harvest.
Shops can be build using wood structure.
This building must contain a Sales Counter.
If you stand next to your shop a bag icon will appear on top left corner of your screen.Tapping on that icon you can transfer an item you want to sell to the shop, otherwise there will be no profits. :(.
Tavern can be build using wood structure, and by placing a Bar.
If you stand next to your tavern a bag icon will appear on top left corner of your screen.Tapping on that icon you can transfer an item you want to sell from your inventory to the shop inventory . You can sell food items in addition to drinks (pies, roasted potatoes, stews etc.) for bigger profits. :).
A round table outside will attract passers by to stop and spend their coin. The better quality furniture increases town rating and frequency of nobles passing through, driving up profits.
you will likely need three barrels producing drinks to keep stocked. Expand numbers of barrels (and farms, honey, berries etc.) as required to sustain income.