Published By Credit Suite at November 30th, 2015
When you invest in your 401(k) you are investing in other companies. But there’s also a way you can use the same 401(k) to invest in your business. And this is with no penalties! Retirement plan financing could be just the ticket to getting your business funded. And a business with funding is, by definition, far more likely to succeed.
Business owners can borrower against their 401(k)s and IRAs to get funds for their business. With 401(k) financing a business owner can quickly and easily rollover their retirement funds from their previous employer or IRA into the new 401(k) plan.
The funds can come from multiple different sources and multiple people. So this can include a spouse or an employee who is looking for an investment opportunity. And, thanks to provisions in the tax code, you can do this without paying a penalty.
A few of the many benefits of Retirement Financing include:
There is an alternative to retirement plan financing. And that is building business credit.
Small business credit is credit in a business’s name. It doesn’t connect to a business owner’s consumer credit, not even if the owner is a sole proprietor and the only employee of the small business.
Furthermore, with business credit, your IRA or 401(k) aren’t on the line if your business does not succeed. That is not necessarily something that other forms of funding can promise.
Borrowers have access to their own specialist to assist in the safe rollover process. And with retirement plan financing borrowers can secure financing for as much as 100% of the value of the 401(k). So, why not try it?
How to Improve Your Fundability™ and Get More Money for Your Business Faster