The study examines the relationship between financial literacy and the performance of micro, small, and medium-sized enterprises (MSMEs) in Veracruz, Mexico. Financial literacy is defined as the ability to process economic information to make informed financial decisions. The research aims to determine if there is a significant relationship between financial knowledge, financial behavior, and financial attitude of entrepreneurs and their companies' performance. Additionally, the study analyzes the impact of variables such as age, size, sector, gender, and educational level on company performance. Data from 206 entrepreneurs were analyzed using a logistic regression model. The results show that financial behavior has a positive and highly significant effect on company performance, while financial knowledge and attitude do not have a significant relationship with performance. The study also finds that companies in the industrial sector led by men are less likely to achieve high performance compared to those in the commercial sector. No significant impact was found for age, company size, or educational level on company performance. The findings suggest that financial behavior is a crucial factor in the success of MSMEs, and further research is needed to explore what influences entrepreneurs' financial behavior. The results can inform policy design to improve financial decision-making among entrepreneurs, particularly in developing economies where MSMEs face challenges in accessing financing and have shorter life cycles.The study examines the relationship between financial literacy and the performance of micro, small, and medium-sized enterprises (MSMEs) in Veracruz, Mexico. Financial literacy is defined as the ability to process economic information to make informed financial decisions. The research aims to determine if there is a significant relationship between financial knowledge, financial behavior, and financial attitude of entrepreneurs and their companies' performance. Additionally, the study analyzes the impact of variables such as age, size, sector, gender, and educational level on company performance. Data from 206 entrepreneurs were analyzed using a logistic regression model. The results show that financial behavior has a positive and highly significant effect on company performance, while financial knowledge and attitude do not have a significant relationship with performance. The study also finds that companies in the industrial sector led by men are less likely to achieve high performance compared to those in the commercial sector. No significant impact was found for age, company size, or educational level on company performance. The findings suggest that financial behavior is a crucial factor in the success of MSMEs, and further research is needed to explore what influences entrepreneurs' financial behavior. The results can inform policy design to improve financial decision-making among entrepreneurs, particularly in developing economies where MSMEs face challenges in accessing financing and have shorter life cycles.