Every year, a higher number of investors decide to take the reigns of their IRA investments and rollover or convert their retirement funds into a self-directed IRA. The process is as simple as finding a self-directed IRA administrator that allows account holders to invest in alternative assets outside of the securities market. With a self-directed IRA, investors are granted nearly complete freedom and control over their IRA investments, as long as the assets fall within IRS guidelines (no life insurance or collectibles).
A self-directed IRA requires active oversight by the account holder, and therefore isn’t ideal for the passive or unengaged investor. But for the innovative entrepreneur, a self-directed IRA is an exciting opportunity to capitalize on individual market expertise and sniff out promising investment opportunities way ahead of the crowd. In this way, “entrepreneur” and “self-directed IRA investor” are nearly synonymous.
A self-directed IRA investor can use his or her own personal knowledge and market expertise to scope out investment opportunities, or team up with another entrepreneur who has insight about a promising investing venture in another field. The self-directed IRA account holder can use their IRA funds to either partner with another individual’s IRA account or another individual’s personal funds (as long as the partnering party is not a disqualified person); or the IRA can bankroll an investment that the initial entrepreneur doesn’t have the funds to personally finance.
Successful entrepreneurs understand the importance of cultivating connections with market insiders who can provide tips about promising investment opportunities. If a business savvy friend knows about a restaurant in a great location that’s being sold by the owner, or if a mutual acquaintance’s solar energy enterprise is seeking private investors, a self-directed IRA investor can act as a critical connection to help other driven entrepreneurs realize their investment goals.
If you’re looking to open a business of your own, you can’t use your self-directed IRA funds to finance the venture, since you are disqualified from directly benefiting from the money in your IRA (until you’ve reached legal age of distribution for your account type). However, you can partner your personal funds with other another qualified person’s IRA account (or their personal funds) in order to financially support your personal entrepreneurial goals. Feel free to give us a call at 877-742-1270 or send us an e-mail at email@example.com.