If you are thinking of starting your own business, you certainly have questions about the best business to start, how to get started and where to get funding. At DRDA CPA’s, we can assist with the funding portion.
Funding Your New Venture
DRDA CPAs & Business Consultants provides the BORSA (Business Owner's Retirement Savings Account) Plan which allows entrepreneurs to access retirement funds tax and penalty free if they are going to buy, start, or add funds to a business.
The ability to do this is based in the Internal Revenue Code (IRC) and the ERISA Law of 1974 (specifically section 408(e) of ERISA). It's a two entity structure and it works like this:
• DRDA establishes a C Corp for you
• DRDA establishes a 401k Profit Sharing Plan for your C Corp
• You can roll all of a plan, portions of a plan, multiple plans, more than one person can roll - none of that affects the fee or the timing. The funds will roll into the new account established for the new 401k plan
• From the 401k plan you will make an investment decision. Instead of buying stock in somebody else's company you're going to buy stock in your own C Corp.
• Once the funds are in the corporate checking account they are working capital and available for any purpose, to include leveraging against a loan - SBA or conventional.
Don’t wait for retirement to start living the life you want. A BORSA® Plan can turn your existing 401K/IRA into the money you need to start your own business. All with no taxes or penalties.
The entire process takes roughly 30 days at a fee of $4,995. We welcome the opportunity to discuss your capital needs. Give Suzy a call at 281-954-6023.
What Type of Business Should I Start?
Now that we can help you fund your business, what type of business should you open? In Leonard Kim’s article, “10 Business Trends That Will Grow in 2017”, he shares his insights on the top business trends in the new year. He credits the rise of millennials and their effect on how businesses are operating for the recent trends. Click here to read his article: http://www.inc.com/leonard-kim/10-business-trends-that-will-grow-in-2017.html
Here are some examples of business start-ups we have seen in recent years:
• Cupcake shop
• Coffee shop
• Consulting business
• Buy a Franchise
• Local Organic Farmer
Learn more about the BORSA plan by contacting us today at 281-954-6023. For the latest financial news and tips, please visit our Facebookand LinkedIn pages.