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The Cutter is the smallest warship available and it is still relatively fast. Not a bad escort ship for speedy fleets because it won’t slow them down like a galleon will. The cutter is still not anywhere near tough enough to take on a large warship and they are useless in port attacks as well.
The Brig is a versatile ship with a reasonable capacity for cargo and some potential in battle. The stats for the brig are average across the board except for manoeuvrability which is definitely their strong point. Brigs are handy all purpose ships until something better comes along.
The Flute is medium trade ship with a good sized cargo capacity but it is weak in almost every other respect. It is slow, badly armed, not very manoeuvrable and without escort it will easily fall prey to pirates or competitors.