Impact Evaluation of an Intervention on Small and Medium Enterprises in Chile

This impact evaluation aims to measure the effect of a program that combines business training, mentoring, and a large cash transfer on high-potential small and medium businesses in Chile. 250 out of the top 500 firms participating in a business plan competition will be randomly selected to receive all three components of the program, while the remaining firms will receive none of them. In-person surveys with the entrepreneurs will be conducted before and 12 months after the program. The surveys will measure the program's impact on key indicators such as monthly sales, monthly profits, and the number of employees in the business. Other outcomes, such as the welfare of entrepreneurs, their business practices, and learning, will also be measured. In addition to the survey data, we will use available administrative data coming from Chilean tax and unemployment insurance authorities to analyze the firm’s profits, sales, costs and networks. The tax data will also be used to track the long-term growth of these firms. Finally, we use data from the videos submitted by the entrepreneurs as a part of the selection process to study potential treatment heterogeneities.