An excess sensitivity of investment to internal funds (cash flow) is typically interpreted as evidence for the presence of financing constraints. Building on this, we empirically investigate the possibility of an asymmetric response of business fixed investment to the availability of internal funds related to firm specific characteristics. According to our results the magnitude of this excess sensitivity differs in compliance with firm s age size, leverage and dividend paying respectively. In particular, our empirical findings confirm the imperfection of the Greek capital market and highlight the differential impact of financing constraints across young and highly levered firms. Size and dividend payout behaviour do not appear to be useful proxies for the degree of asymmetric information and consequently cannot be used in order to assess financing constraints.