Found in Croatia rather small crown (5)
I believe the answer is:
tiara
'small crown' is the definition.
(I've seen this before)
'found in croatia rather' is the wordplay.
'found in' says the answer is hidden in the clue.
'TIARA' is hidden in the letters of 'croatia rather'.
(Other definitions for tiara that I've seen before include "Jewelled head band" , "Jewelled headband" , "Half-crown?" , "Ornamental crescent-shaped headdress or Pope's diadem" , "Type of diadem" .)