Advantages of Internal Finance
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Sale and Leaseback
Cash instantly generated by the sale.Responsibility for maintaining the asset passes to the new owner.Asset can be leased back from the new owner.
Sales of Assets
Items that are currently not in use, or are reaching the end of their usable life, can be used to raise money.
Owners Capital
There is no interest to pay as you are not lending the money from anyone else.
Retained Profits
There is no interest to pay.