Wednesday, October 9, 2013

401k for business down payment



QUESTION: I'm interested in buying a restaurant that is about $350,000.  I currently have $200,000 in my 401K that I wish to use.

I understand that the way to do this is to open up an C-corp, and have the c-corp be owned by my 401K.  However,  I'll need a loan of about $150,000.   My accountant told me that that I cannot be the guarantor of a loan because it would nullify the 401K ownership.  Is this correct?  Have you seen clients where they use the 401K as a down payment, and then have the c-corp take out a loan with them as a guarantor?
  
ANSWER: Yes it is possible. Please set up a call to discuss further.  Please visit following link and click on "Book Now" button.
http://www.mysolo401k.net/401k-small-business-financing.html

Any guidance would be greatly appreciated!

Larry in Texas

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