Abstract: Financing refers to art and science of cash flow management. Financing is targeted in investment, profitability, reduction of risk and meeting socioeconomic needs of an enterprise. In financing projects and plans, domestic resources of firms enjoy particular priorities for favorable allocation of resources to the investors due to being cheaper, having less risk and cost. Directors of enterprise should take advantage of the amount of existing cash flow and short-term investments which are required for continuity of current operations of firm. The existing cash flow in the enterprise often does not suffice to develop operating activities. As a result, directors are forced to propose the suggestion for increasing capital, lack of dividend, creating reserves and paying loan by the shareholders to the general assembly of the firm, mentioned as the cheapest financing ways. In general, it can say that developing financing can result in economic growth in case it enables to pave the way for optimal allocation of resources and increase of efficiency in capital. In other words, major channel for influence and transfer of positive effects from financial development to economic growth is through increase in capital efficiency compared to the increase in investment volume. In this way it can expect that although financial development decreases investment volume in a community but increases capital efficiency, resulting in increase in economic growth. Conversely, if financial development results in increase in investment volume in a country but fails to increase capital efficiency it will fail to influence economic growth which this should have been drawn into attention by the policymakers in formulation of macroeconomic policies which have targeted in financial development.