Kathy of Pink Chalk Studio has a great step-by-step pictorial on how to bury a knot for embroidery or quilting. Kathy says, “I’m currently teaching myself how to hand quilt using “That Perfect Stitch” by Roxanne McElroy. She demonstrates how to bury a knot on a quilt top. I took that technique and applied it to embroidery on my softies.” Link.
