401(k) Business Financing

The prospects of finding a high-paying job in today’s dismal economy seem to be a far-fetched idea. Many people who were laid off due to downsizing and closure have ended up working at much lower pay scales because being unemployed is tough. When you are unemployed, there is a tremendous pressure on you emotionally and financially, so you end up taking the first offer that comes your way. In fact, studies show that millions of Americans who were laid off ended up with lower-paying jobs. This low pay is because the number of qualified candidates or labour supply is more than the jobs or the demand. This imbalance automatically leads to lower pay scales for everyone. Many economists even opine that it could take 15 years for Americans to get back to their pre-recession wealth.


Despite all this gloom, this recession has also opened new opportunities for many people. To get out of the vicious circle of low paying jobs and longer work hours, many people are becoming entrepreneurs. They are putting their knowledge and experience to good use by starting their own ventures where they are their own boss. However, this move to entrepreneurship is easier said than done because of the initial seed money needed to fund such ventures.


To help such budding entrepreneurs with the necessary seed capital, we are here to help. Our innovative solutions make it a breeze to get the initial funding needed to start your business. A unique aspect about our service is that we understand every individual is different, so your needs are equally different. This is why we provide a host of different options for you to choose from. Our experienced consultants will work with you to understand the type of business you want to start and the amount of money you need. Based on this understanding, they will suggest the right ways to obtain it.


Funding Options


We offer a myriad of funding options to suit the needs of different entrepreneurs. Our consultants will work with you to identify the best funding choice for your business. Some of the options we offer are explained below.


401 (k) Rollover Service


You can use your retirement funds to fund your business without incurring a penalty for early withdrawal. With our 401 (k) rollover service, you can move your retirements funds from 401 (k) to IRA. In other words, fund your IRA with your 401 (k) to withdraw money for your business without incurring the 10 percent withdrawal fee. We take care of all the procedures for you such as creating an IRA account, if you don’t have one already. We also help to move your 401 (k) into your IRA account.


This rollover is a great option for most people who have a reasonable saving in this account because from your perspective, it is not a withdrawal, but an investment. It does not make sense to pay a penalty to invest your own money for your business. Since 401 (k) is a tax-advantaged account, this is one of the best ways to use this money for your business without paying a penalty. You can even combine your spouse’s retirement fund for a larger pool of money to start your business. Along with 401 (k), we also offer the same solution for other retirement accounts like SEP.


SBA Loans


If you are not in a position to fund your business from your savings, then the next best choice is to borrow money. However, borrowing can come with steep interest rates and this can be a drain during your early days. To overcome this gap in funding, the Small Business Administration (SBA) offers loans for budding entrepreneurs like you at affordable rates of interest and terms of payment.


Again, getting this loan is not easy as competition is fierce. So, your application has to be complete and compelling to read without any missing data. Moreover, the application form should request for the right loan that is best suited for your business, otherwise there is a high chance for your application to get rejected.


We are experts in filling out SBA application forms and have helped many entrepreneurs like you to get the initial funding for their business. We would be happy to bring our experience and expertise to you too, so that you can get money just when you want it.


Franchise Financing


If you plan to buy a franchise, then funding is a completely different process. There are only a few bankers today who have the expertise to of an underwriting staff for your deal to get through. When you apply through us, you have a higher chance of getting a funding because we work with our trusted network of bankers who specialize in funding franchisees like you.