401K Rollover Loans
HOW TO ROLL EXISTING FUNDS INTO A NEW
BUSINESS OR FRANCHISE.
1. FORM A CORPORATION
LoanStar Capital will connect you with help to form this corporation or work
with your attorney during the formation process.
2. CORPORATION SPONSORS A 401(K) PLAN
This unique 401K Plan has been
designed to allow for investment into your corporation.
This 401K Plan has been pre-approved by the IRS.
2. CORPORATION SPONSORS A 401(K) PLAN
This unique 401K Plan has been
designed to allow for investment into your corporation.
This 401K Plan has been pre-approved by the IRS.
3. ROLLOVER TO A NEW 401K PLAN
You will have help through the process of moving your retirement funds from your previous employer’s 401K or IRA into the new 401(k) Plan.
4. 401K PLAN INVESTS IN THE CORPORATION
Your new 401K Plan purchases stock in the corporation.
This 401K Plan now holds stock in the corporation and the business is debt-free and cash-rich from the sale of the stock.
At this point, the corporation will now be able to purchase your new business or franchise.
You invest some portion of your retirement funds in your business, giving you more control over the performance of your retirement plan assets.
You use a safe, proven plan, based on long-standing provisions of the Internal Revenue Code.
You gain business equity and an improved cash flow position from the start.
You accelerate business profitability by managing the amount of debt your new business takes on.
You secure funding fast - typically 3-4 weeks or less.
You can set aside tax-deductible retirement savings up to $58,000 per year.
For those aged 50 and over, an additional $6,500 can be contributed ($64,500 total).
You optimize business equity and value.