Issuing primary stocks offers several key benefits to companies. The primary advantage is raising capital. When a company issues stocks in the primary market, such as through an Initial Public Offering (IPO) or a Follow-on Public Offering (FPO), it can generate substantial funds without taking on debt. This capital can be used for expansion, research and development, debt repayment, or other strategic initiatives that drive growth.

Additionally, issuing primary stocks increases a company's visibility and credibility. A successful IPO can enhance a firm’s public image, attract attention from investors and analysts, and improve access to capital in the future. Going public can also lead to higher valuations and provide liquidity to early investors and employees who hold stock options.

By offering equity rather than debt, companies avoid interest payments and the financial strain that comes with borrowing. This helps maintain a healthier balance sheet. Furthermore, issuing stocks allows for the sharing of business risk with investors.

Lastly, issuing primary stocks can improve corporate governance. Public companies are subject to regulatory scrutiny and reporting requirements, which can promote transparency and better management practices, potentially leading to long-term sustainability and growth.

Issuing primary stocks offers several benefits to companies. First, it allows them to raise capital without taking on debt, providing funds for expansion, research, or other growth initiatives. Unlike loans, equity financing doesn't require repayment or interest, reducing financial strain. Additionally, it strengthens the company's balance sheet by increasing shareholders' equity, which can improve creditworthiness.

By issuing shares, companies can also increase their public profile, attracting more investors and enhancing market credibility. This can lead to greater liquidity for the company's stock, making it easier to trade and potentially boosting its valuation.

Furthermore, stock issuance can help align management's interests with shareholders by offering stock options as incentives. Overall, issuing primary stocks provides companies with financial flexibility and opportunities for long-term growth without the immediate burden of debt.