Why 401k Financing
Today many people are choosing to preserve their cash and obtain funding in other ways as traditional lending channels tighten requirements. One popular funding option is to access traditional IRAs or 401(k) funds (from prior employers) and allocate towards ANY type of Business! Our 401k/IRA financing program allows people that access.
No Interest, No Collateral, No Credit Score
401(k) business financing is an ideal method if you don’t want to go into debt, don’t qualify for a loan, or just don’t have the cash-on-hand to start or purchase a business. Unlike other types of funding methods, your credit score, past experience, or on-hand collateral play no role in eligibility. Instead, the main factors are the type of retirement account (like a 401(k) or IRA) and the amount of money you have in it (at least $50,000).
Utilization and Requirements
Utilize your Retirement Account(s) to fund your business PENALTY-FREE and without taking a taxable distribution! 401k/IRA financing can be used for a wide range of property types, including:
- Office Space
- Multifamily Dwellings
- Real Estate Notes
- Special Use Properties
- Tax Lien Certificates
- Raw Land
To qualify, applicants must not be currently employed by their retirement plan provider, must have a standard or traditional IRA, and have $50,000 or more in those accounts.
If you want to learn more about 401k/IRA financing, contact the team at Select Capital Solutions today.