Carvana’s in-house financing unit plays a critical role in its business model, processing the vast majority of its vehicle sales. By controlling the lending process, the company streamlines transactions and reduces reliance on third-party banks. This strategy is central to its ambitious expansion plans, aiming to significantly boost annual retail vehicle sales. The approach highlights how integrated financing can drive growth in the auto retail sector.
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.
