Internal financing to eliminate external financing cost, pecan

Abstract

Most companies, indifferent to their principal activity, require at some point external financing. Which has an interest cost, that the banks offer in exchange for this type of financial product.

The main reason that a company recurs to external finance is for the investment activity. Other reasons is to develop the productive process where the finance cost become in a financing production cost and will be reflected in the final sales cost for the final customer.

This article was made a literature revision to identify and analyze the different internal financing options that exist for companies of Pecan Nut exportation activity. Was acquired systematic information in different scientific articles, financial magazines and tax; and financial books about the current law rules in addition, were interviewed expert people in the credits and financial subject. The results were 40 records with topics of optimal finance structure for companies, internal and external financing, and the creation of companies in Mexico allowed for the financing.

The result of this investigation is that a corporate company has the possibility to create an own company by which the cash flow can be administered correctly to avoid high cost of the financing in private banking companies and reduce or eliminate the costs for final products since this financing cost would not be added. In conclusion the literature show that is possible the development of a company for internal finances that allow to have operational process of low cost, at healing the company finances, the law regulations allow and exists the figure of Finance Society for a Diversity Objectives (SOFOM) that give the opportunity to obtain causes taxes advantages in support of companies financing.