This study demonstrated that the changes in functional and comfort properties of knitted cotton fabrics were determined by the knitted structure as well as type and concentration of finishing agent. To improve the comfort properties, one should ensure the smoothness of fabric surface, air permeability, heat transmittance as well as hydrophilicity of the knitted fabrics, by selecting the proper knit structure and/or by applying the proper finish such as bio-finish. Soft-finished fabric samples had lower tendency to shrinkage and lower stiffness unless compared with other finished fabrics. The functional properties of the finished cotton knits, i.e., antibacterial and water repellent, depend to a great extent on the type of finish.