Teresito Rustia Jr is a general accounting and inventory management professional at Property Company of Friends, Inc. Previously, Teresito is a working student of SWU-Phinma, Cebu and a part-time service crew of Jollibee Corporation. He graduated with honors from Southwestern University with a degree of BSBA major in Management Accounting.

Teresito B. Rustia, Jr

Centro Escolar University


Microfinance companies (MFCs) tried to bridge the gap on credit accessibility to entrepreneurs but unfortunately, there is still a gap on the unmet demand and insufficient supply of funds. This study aimed to determine the status of selected MFCs in Southern Cebu’s rural areas when providing services to the rural poor especially to micro and small entrepreneurs (MSEs) to improve their financial condition and make the means of credit accessible to those who need it. This study focused on examining the respondents’ profile, level of awareness and satisfaction, problems encountered, and the effects of the offered microfinancing. Mixed method and descriptive analysis were used to investigate the status and contribution of microfinancing to come-up with reasonable prospects for MFCs. All 13 managers were selected and stratified random sampling was used for 389 MSEs. The study revealed that there was a significant difference between the perception of managers and MSEs on the level of awareness and satisfaction. The study found out that microfinancing helps improve the business and financial status of the respondents. Moreover, data revealed that there were still problems that need to be addressed. Regular evaluation of business processes to know the areas for improvement must be done.

Keywords: microfinancing, microfinance companies, small and medium enterprises, entrepreneurs, Philippines