Yes, the Kestrel will not work with a short range. I think it is set for 30 yds.
Do you think this can be changed? There's a lot of people returning connected rangefinders that "aren't working properly" when they try to test them at their homes - when in fact, they are fine. I'm not sure if there's a reason for the 25Y lower limit; it will definitely throw people off when the rangefinders behave strangely.