Knowles and her mother introduced House of Deréon, a ready-to-wear contemporary women's fashion line, in 2005. The concept is inspired by three generations of women in their family, with the name Deréon paying tribute to Knowles' grandmother, Agnèz Deréon, who worked as a seamstress. According to Tina Knowles, the overall style of the line best reflects Knowles' taste and style. Launched in 2006, products of House of Deréon received public exhibitions during the group's shows and tours during Destiny Fulfilled. The store, which is available across the United States and Canada, sells sportswear, denim along with fur, outerwear and accessories that include handbags and footwear. They also include footwear, which Knowles teamed up with House of Brands, a local shoe company. In 2004, Knowles and her mother founded their family's company Beyond Productions, which provides the licensing and brand management for House of Deréon. In early 2008, they launched Beyoncé Fashion Diva, a mobile game with an online social networking component, featuring House of Deréon.

The animal rights organization People for the Ethical Treatment of Animals (PETA) has criticized Knowles for wearing and using fur in her clothing line. The organization have sent letters to her, pleading to stop using fur in her clothing line. In one incident, PETA set up a dinner with her and fans, who were actually a connivance from the organization. Knowles was confronted with PETA representatives, with whom the latter was escorted out after Tina Knowles came in. The incident generated mixed responses; Knowles did not respond to the issues, although her father was reportedly fighting back.