Ipiales is a city close to the Ecuadorian border in Colombia. It is a obligatory stop over on your way to Ecuador. There is nothing much to see except the spectacular Iglesia de las Lajas (See Get Out).
The bus station is a bit out of town, but there are collectivos the center.
There are frequent busses to Pasto and further north. Collectivos will bring you to Rumichaca for the bordercrossing if you go to Ecuador. The bordercrossig is quite easy and straightforward. The Colombian DAS-office is on one site of the bridge and the Ecuadorian office in on walking distance on the other side. From there are collectivos to Tulcan. Don't sell your dollars on the border, the exchange rate is bad.
The colourful Saturday Market at the "Plaza Los Mártires", 10 minutes walk from the town center.