BUSINESS FUNDING IRA
These terms all mean the same thing:
Business Funding IRA | Business Financing IRA | Business Financing 401(k)
There are no differences in these terms. Over the course of time, different people and companies have used different terms to describe the same thing.
The Small Business Entrepreneur’s Secret Weapon
In today’s complicated economic environment, people are opting to become their own boss.With the Business Funding Plan, an entrepreneur can use qualified retirement plan funds to purchase, or recapitalize a business or franchise…tax-deferred and penalty free.
Your Best Option
The Business Funding plan may well be your best option…even if you have other options. Think about the possibilities…you can operate the business, draw a salary and contribute to your retirement plan with profits from the business. Advantages for this type of funding strategy include the following:
- An all-cash purchase of a business eliminates the need for debt financing
- Funds can be used as a down payment to secure additional financing
- Profits enjoy tax-advantaged status by being directed back to your 401k
- As an owner of the business, you may draw a salary and receive benefits
- Family members may be employed by the company and draw salaries
Through this investment strategy, an individual actually has “more control” over the retirement plan than with “traditional” options. Instead of being dependent on the stock market, retirement savings are actually being invested in one’s own business. With this approach, an individual may be able to realize a much better return on investment.
3 Simple Steps
Is this a complicated process? Yes, but our professionals and consulting attorneys make it easy. It can be boiled down to 3 simple steps:
- Step 1: Establish a C-corporation, which then creates a retirement plan
- Step 2: Funds are rolled over into the corporation’s new retirement plan
- Step 3: The new retirement plan purchases the stock of the corporation
Fast, Efficient & Cost Effective
The entire process generally takes 2 to 4 weeks to be completed, and can be done by phone, email, fax, express or regular mail.
Additionally, you’ll save thousands of dollars by using professionals who specialize in this strategy rather than trying to piece it together with Attorneys, CPAs and others who don’t have the specific training to do it right the first time.