Ok, 6yr olds are definitely NOT too old for party games
At my DD1's 8th birthday I said to the girls "Oh, I'm sure you are all too old for pass the parcel" and got howled down completely
I just make it a bit more interesting.
Craft party for 6yr olds .. they would love it.
Personally, I'd keep it to one type of craft activity, maybe do a pass the parcel, afternoon tea & cake. ANd then just let them play.
What type .. something easy, because you aren't going to want to try and help all 7 kids. Don't know what year your daughter is in, but if she is turning 6 in March, you could have 5yr olds at the party. So keep it simple.
Make your own party bag. Buy some noodle boxes, and heap of stuff to decorate them. You can go as simply as having stickers, you can even get little gems that stick on. If you get cardboard ones, you can draw on them with textas. After they are done, put them on a table out of the way (and preferrably out of sight), and hand them back at the end of the party, magically filled with goodies.
Decorate your own treasure box/picture frame/magic wand - as above
Beading can be ok as well - you can get heaps of containers of beads from spotlight. Just make sure you get decent size ones, not the really itty bitty ones, so the girls can thread easily. I did this one year with DD1, and the girls loved it, all getting their own bracelet/necklace to take home.
Oh, try not to do something too "wet" - like lots of glue or glitter glue (that stuff takes FOREVER to dry). It's a pain in the neck to take home at the end of the party if the craft is still dripping in glue LOL