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The study focused on the impact of microcredit on the short-term finances of microentrepreneurs at the Galerías Shopping Center in San Juan de Pasto, Colombia, from 2019 to 2023.

The design of the paper is empirical-analytical, focusing on the tangible and unique aspects of reality that can be fragmented for measurement. This approach privileges the use of data from the study population’s experience, which is treated analytically through statistics to establish frequencies and correlations between variables. The research involved a structured questionnaire based on bibliographic references and considering the operational framework of the variables, which underwent expert review, necessary adjustments, a pilot test and subsequent validation in 2019 and 2023. The reliability of the instrument was assessed using Cronbach’s alpha, ensuring a reliable indicator when equal to or greater than 0.7 in each analysis period. This methodology aimed to identify practices and how the financial profile influences short term.

The findings from the survey conducted with the microentrepreneurs at Galerías Shopping Center reveal several significant connections to the theoretical framework. The study revealed that many microentrepreneurs relied on their personal funds for business financing, indicating a limited understanding of financial principles. Additionally, a significant portion of microentrepreneurs mitigated investment risk by securing loans from financial institutions, yet none utilized government subsidies like entrepreneurship loans, pointing to a lack of advice. The findings underscore the importance of financial education and suitable financial services for business development.

One limitation of this study is the lack of detailed data on the financial structure of microentrepreneurs' businesses, as well as specific information on interest rates and the terms and conditions of the microcredit used. These limitations may affect the generalization of the results and the comprehensive understanding of the impact of microcredit on the short-term finances of microentrepreneurs. Future research could include a larger sample size and more accurate data on the financial structure of businesses, as well as a detailed investigation of interest rates and terms and conditions of microcredit, to provide a more comprehensive understanding of the financial impacts for microentrepreneurs.

The findings of this study have practical implications for microentrepreneurs in the Galerías Shopping Center. The research emphasizes the need for improved financial knowledge, accounting practices and debt management among microentrepreneurs. It also highlights the importance of financial education and access to suitable financial services for business development. The study’s insights can guide the development of training programs and initiatives aimed at enhancing financial literacy and financial management among microentrepreneurs, leading to more informed decision-making and improved financial outcomes.

From a social perspective, this research contributes to promoting economic development and financial inclusion. By addressing the mismanagement of microcredit by microentrepreneurs and providing insights into their short-term finances, the study aims to foster economic empowerment and sustainable development within communities. The findings underscore the significance of microfinance in driving economic growth, reducing poverty and promoting social inclusion. The research emphasizes the importance of equitable access to financial services, which can contribute to narrowing the gap between the financially excluded population and the conventional financial system.

This research adds originality and value to the academic community by addressing the incidence of microcredit on the short-term finances of microentrepreneurs in the specific context of the Galerías Shopping Center in San Juan de Pasto, Colombia. By characterizing the financial profile of microentrepreneurs, establishing the relationship between microcredit characteristics and the financial profile and proposing an action plan, the study provides valuable insights for decision-making in both the academic and microfinance fields. The research contributes to the existing literature on microfinance and financial inclusion, offering a unique perspective and potential solutions for optimizing the use of microcredit-funded resources by microentrepreneurs.