Dream of owning a Storage Authority Franchise? Don’t let financing stand in your way!
Can Retirement Funds Be Used to Develop a Storage Authority Franchise?
By Marc Goodin
Absolutely! Should they be used for a self storage development? While I would not tell anyone how to invest their retirement funds for me the answer was easy. Absolutely! Why not?
Using retirement funds such as 401K, IRA, pensions, 403b, 457, or annuities, you can buy a business, pay for any business expense, and to pay yourself a salary without incurring personal taxes or penalties for doing so. You can use retirement funds for the equity required by the bank and take a loan for the balance.
You can pay yourself a salary as soon in the process as you wish, even before you reach profitability. Since this funding option is not a loan, these funds are actually used to buy stock in your business, and therefore are not a personal distribution or a withdrawal.
The first decision is self self storage for you. Self storage is an active business that will requires time and experience in addition to money. Where as, retirement funds are often invested in vehicles such as stocks and bonds that do not take time. Of course the goal is much larger rewards due to your personal efforts. I may be biased but the best way to get the experience you need for both development, operations, sales and marketing is with a Storage Authority Franchise
The major reason for a retirement funds is so you have funds for retirement. If you could turn $600,000 in your retirement account into several million for retirement would it be worth it? Just like any retirement investment you need professional help insure it meets your investment goals and you understand the risks.
There are required procedures, rules and laws you have to follow and you will need an expert to help you with the process. To learn more about how to use your retirement funds for a Storage Authority Franchise I recommend you contact:
Diane Rosenkrantz, Senior Consultant
Tenet Financial Group