401k Small Business Financing Providers

The use of retirement funds such as IRA and 401k funds to finance an operating business venture has grown in popularity the last few years as a result of unfavorable economic times, resulting in workers deciding to venture into operating their own business. These new entrepreneurs are using 401k small business financing, a term used to describe the use of 401k or IRA funds to finance an operational business. 

With billions of dollars tied up in IRAs and 401k plans, the number of 401k  providers offering 401k small business financing services continues to steadily grow each year; therefore, when deciding on a 401k provider, be mindful of the following:

401k providers range from, 401k administrators, accountants, attorneys, actuaries,  and combination of all of these.

Because 401k small business financing is more complex than a regular 401k, one that is used to invest in stocks and mutual funds, it is best to work with a 401k provider that has 401k administrators on staff and an attorney on staff. This will ensure that all of your bases are covered. The 401k administrator will handle the day to day 401k administrative functions while the attorney will handle the compliance aspect of the 401k plan.