The main special features off long-term finance are:
1. Long-term finance is usually raised through the issue of shares and debentures, through term loans from financial institutions and ploughing-back of profits.
2. Long-term finance is costlier than short-term finance and medium-term finance.
3. Long-term loans are, generally, raised against securities.
4. Long-term finance is the finance required for a long -period exceeding five year.
5. It is required for financing the fixed capital of an undertaking.
6. It is required not only for the establishment of new undertaking, but also for the expansion and development of an existing undertaking.