Use the crochet hook that came with the loom kit to gradually crochet all four edges of loops together into a completed edge. Do not forget to leave the last loop free in order to hang it when the pot holder is not in use.
Finishing a pot holder made on a small peg loom involves creating a crocheted edge.
Step 1: Choose an edge to start
Start along one side of the loom and remove the two loops on the end of that side from the pegs.
Step 2: Begin the crocheted edge
Grasp the second loop. Push the crochet hook that came with the loom through the second loop and hook the first loop. Pull the first loop through the second loop's opening.
Step 3: Finish the stitch
Release the first loop from the hook and gently pull the second loop to tighten it.
Step 4: Repeat the crocheted stitches
Put the first loop back onto the peg and repeat the crocheting process along the edge of the pot holder.
Step 5: Continue with the other three edges
Crochet the other three edges in the same way. When there are two loops left, crochet them and pull the last one tight and a little farther from the pot holder to create a hanging loop.