While some people are watching their retirement accounts plummet in this tough market, others are turning that around with an alternative investment – a new business.
Many people are finding out how to invest their retirement accounts in new businesses, and keep every penny of their funds. Some IRAs, 401(k)s and other types of retirement accounts can be used to invest in new businesses – without penalties or taxes. But few investors have taken advantage of it, until recently.
It’s not new; quite the contrary. But just three weeks ago, the IRS officially sanctioned the use of retirement funds to invest in a business, even though the program has been in practice for years.
Larry Carnell, Vice President of Benetrends, a franchise funding company, has first-hand knowledge and experience in using retirement funds for business purchases. As a manager for major franchiser in the mid-1990s, he was the first person in the nation to uncover this program for his clients to help them purchase franchises.
“The program was relatively unheard of then. Now, I’m out talking to all sorts of groups and organizations about this program. My story hits home during this time and so the IFA and other franchise organizations have me booked to speak at several conferences and seminars.”