I was Having a little troulbe on this as well and im currently playing and may have found the Solution.
First off your going to need Wood, Lots of it. Think Clear Cutting, Place 2 Woodcutter huts and upgrade both to Lvl 2. Now build a Lvl 2 Grain Farm with 4 Grain Feilds(So you can Gather as much wheat as possible to last the Winter). Place Hunting Huts(or whatever their Called, Alt+Tabbing in and out of this game causes too much lag on the best system so im not gonna Check Names).
Now with Grain and Meat you need a Butcher and Baker (I hope your wood has lasted this long mine Did not and i had to wait for more), Upgrade both to lvl 2 fast.
Heres the tricky part, YOU MUST BUILD 2 lvl 2-3Iron Mines on your single mine to prepare for the fighting to come, Build these while keeping in mind that your gonna have to save room near the top for 2 Swordsmiths and a Swordmen Trainer(Close to the free outpost you get.)
While your Doing all of this Building Send your Knight to the NW near the Town and start Killing the Wolves. Depending on which Knight you pick you may be able to kill them off 2 at a time, the sooner the better cause Wool is your Best source for Clothing as youll need all your meat for food. NOTE* Save all your Gold for the Shipment and send it when the timer is around 35-45 Seconds (it takes yours longer to get there because Crimson has roads to send hers on and you don't),Once the Shipment is off buy 2 sets of Sheep(more if you have the money) and build the farms and Weavers to support them. Send the Wool a Full minute before Crinsom sends hers(After 4 reloads my Cart keeps taking a Wierd Direction and having to stop and turnaround, there seems to be no way i can stop him from doing it so theres a whole minute of wasted time here, plus she has the roads remember).
Heres the fun part where i kept having to reload. Build 2 Lvl 3 Swordsmiths and at least a Lvl 2 Swordsmen Trainer right at the top of your Territory They need to be close to where the fighting is gonna happen. And start amassing a Sizeable Force(NOTE*No less than 4 sqauds are going to survive a Fight with Crinsom Sabbat, she hits like a beast on your Swordsmem, and youll need a 5th to capture her Carts which is a Must), keep your Forces up, keep taking her Carts and Killing her. Crinsom Sabbat respawn almost immediately after you kill her but it costs her faction 500g each time and it she will lose 1000g for each cart you take or Destroy. Bid your time and soon she will go Broke and no longer be able to afford new soilders(Though even with no money she will Continuously respawn). When shes sent about 12 carts she begins making solo runs at your Swordsmen, when this starts pay for the outpost to be Built. Before you build the outpost have about 10 Groups of Swordsmen there to protect it, Although she cant/wont make new soilders she will send every soilder in her city after you have built the Outpost. After 5 reloads ive counted 3 Swords and 3 Archers with 1 more group of each spawning as she sends them. Thats 4 groups of Archers and 4 groups of Sword that swarms once youve built the outpost. Just before it completes send 5 Sword north so that you can send them down on her Archers stopping them from Firing on your other Swords and Taking your Outpost.
Now that your Outpost is Built take every Torch you have and Burn down every thing North of her City. Soon shell have Protesters in her town Sqaure. For some odd reason once the Protests Start she stops worrying about you and puts her full attention on them, her loss is your Gain. Build the Fish farms and Roads, Upgrade them to Full and Ship as Soon as you can.
I took time out from Sacking her City to Write this, Money will be a HUGE Issue, if you can give your Knight a Second Promotion then your better at this than I Am lol.
Second big issue is food, I picked Elias for this and i think hes best suited for it. You can park him in the center of town and use his food ability every chance and while hes offering free food the settlers eat his food not the food in the Storehouse, letting you build on the storehouse Reserves.
I Hope this Helps on what is a Horrid Level that took me almost 10 hours to figure out. Well i think i have it figured out, this took so long to write ive had to Save and Exit. When i get home from work ill finsih the Level.