Latest blog postings

Three Reasons To Create Your ROBS Business NOW (and One Not To) Jan 11 - 2021 A caller inquired about whether I believe our current economic uncertainty is a good time to initiate a ROBS setup. Here are three reasons why this could be a great time to start a business with your own retirement funds and one reason to hold back. He decided to move forward. Here's why.	ROBS Setup Issues - Part 2 Nov 25 - 2020 This is part two of a two part article on ROBS setup issues. Click here for part one.	ROBS Setup Issues - Part 1 Nov 04 - 2020 This is part one of a two part article on some things to consider when creating a ROBS setup.	Deciding Where to Incorporate Oct 25 - 2020 ROBS and SDIRA clients face the same initial decision, where to incorporate their corporation or LLC. I recommend that, absent a clear and convincing reason to pick a different State, choose your home State. Here are some factors clients want to look at before making a final decision.
Frankie And Johnnie create a ROBS, and it does them wrong Jun 02 - 2020 If two unrelated people create a ROBS funded corporation together, what happens to the plan stock if one of them passes away?	SDIRA v. ROBS May 26 - 2020 May you invest your IRA into your own business? Only if that business is not a "disqualified person" (DP). If the IRS reviews the transaction and determines that the business is a DP, then the transaction is prohibited, potentially disqualifying the entire IRA.	ROBS UPSIDES May 22 - 2020 What is a true ROBS upside to you? In our last post, we looked at the downsides. Now, let’s look at what works well about creating a business with ROBS funding.	ROBS Downsides May 19 - 2020 Investing your retirement funds into your own business provides several key advantages or upsides which I will in the next post. This post covers the risks, the downsides to adopting a ROBS strategy. The downsides can be mitigated by the way your ROBS setup is created.
ROBS Strategy for an Existing Business May 15 - 2020 Although the name ROBS includes the word Startup, the concept can be used for existing business financing. Here’s how.	How Corporate Tax Cuts Help your New ROBS Corporation May 12 - 2020 The tax changes for corporations passed in 2018 a great year to start your ROBS funded corporation! Why? Glad you asked! Here are the Selden notes. Like Cliff notes, except my name isn’t Cliff, and he is already using that name for his notes.	Why IRS Pub 590-A Does not List Self-Directed IRAs May 08 - 2020 Does the IRS recognize self-directed IRAs? According to IRS Pub 590-A, the different types of IRAs are:	Available Investments for Your ROBS 401K Plan May 05 - 2020 Does your ROBS plan allow alternative 401K investments? A new client came to with an existing ROBS plan created by one of the big promoters. He wants to invest funds from his plan into a privately held LLC. The promoter told him he could not make that investment.
Buy a Yacht with your IRA May 01 - 2020 So you want to buy a Yacht with your IRA. Awesome! I can show you how to do that. We set up a manager-managed LLC in your State of choice. The Member, your IRA, will appoint you as the manager.	May an SDIRA use a Trust Rather than an LLC? Apr 28 - 2020 Yes, you may use a Trust to manage your self-directed IRA’s assets. This article attempts to clarify what works and what doesn't work for an IRA to use a trust as its investment vehicle. This is a relatively unknown concept. Internet search results for “IRA Trust” may confuse you.	ROBS Audits – IRS Apr 23 - 2020 Navigating the IRS audit process looks as complicated as, oh, following a flow chart that seems to loop just as you think you are nearing completion.	ROBS Audits – DOL Apr 21 - 2020 The purpose of a DOL audit is not to rehash past mistakes but to look at past events with a view toward improving future performance. Findings from an audit can be used as a basis for adjusting policies, priorities, structure, or procedures in order to make operations as efficient, economical, a
Wyoming LLC for your SDIRA Apr 17 - 2020 Why should self-directed IRA clients use a Wyoming LLC? As Nevada fades in the #1 State slot to create an LLC, many clients look to Wyoming for the best benefits. If you want to read the WY LLC rules, click here. Most of our clients create LLCs for their IRAs in their home State.	ROBS Year End Valuations Apr 13 - 2020 Plan Administrators require year-end valuations of all plan assets. Most of my clients’ plans only contain stock in the sponsoring corporation so this is a straightforward, albeit important, task. Some plan admins do not provide any guidance on creating that valuation.	ROBS for Engineers Mar 27 - 2020 Contracting issues create a unique opportunity for Engineers (and similar professions) to use a Rollover Business Startup (ROBS) to land important contracts. Some of my clients leave firms to launch out on their own. Their goal is to work as a consultant.	What Is A Rollover Business Startup? Mar 20 - 2020 The acronym ROBS was created by the IRS in 2008 to refer to a business funding arrangement that existing promoters marketed under different names.