Has anyone here ever financed a dental practice using a 401(k) rollover as business startup (ROBS)?
http://en.wikipedia.org/wiki/Rollovers_as_Business_Start-Ups
My wife (also a dentist) and I have been fortunate to pay off our student loans in 5 years while also accumulating several hundreds of thousands into retirement accounts and we are now planning for a possible relocation in a fews years. By then, we will be 100% debt free (including mortgage free) and we should have well over $1M in retirement accounts so we are considering using some of those funds to completely finance a practice purchase or startup. The practice will have to be a C-corporation, which many dentists avoid due to double taxation at retirement when the practice is sold, BUT if my 401(k) owns the practice I think the double taxation is avoided because I will be financing the practice with money that I never paid taxes on in the first place.
If anyone has experience with such a transaction your input would be greatly appreciated and all other thoughts and comments/opinions from others is also greatly appreciated!
http://en.wikipedia.org/wiki/Rollovers_as_Business_Start-Ups
My wife (also a dentist) and I have been fortunate to pay off our student loans in 5 years while also accumulating several hundreds of thousands into retirement accounts and we are now planning for a possible relocation in a fews years. By then, we will be 100% debt free (including mortgage free) and we should have well over $1M in retirement accounts so we are considering using some of those funds to completely finance a practice purchase or startup. The practice will have to be a C-corporation, which many dentists avoid due to double taxation at retirement when the practice is sold, BUT if my 401(k) owns the practice I think the double taxation is avoided because I will be financing the practice with money that I never paid taxes on in the first place.
If anyone has experience with such a transaction your input would be greatly appreciated and all other thoughts and comments/opinions from others is also greatly appreciated!