Carvana’s in-house financing division plays a pivotal role in its business model, processing the vast majority of its vehicle sales. This captive lending arm allows the company to streamline transactions and potentially accelerate its ambitious growth targets. By controlling financing internally, Carvana reduces reliance on third-party lenders and strengthens its ability to scale operations. The strategy could be critical as the company aims to expand its retail vehicle sales significantly in the coming years.
Carvana's captive finance arm handles 85 percent of its sales and could be the key to its goal of selling 3 million retail vehicles a year.
