QUESTION:
Can I take part of my 401K to buy the business and keep the balance invested?
ANSWER:
In short yes. As part of the establishment process, two accounts will be created: one for the corporation and another account for the ROBS 401(k). We set this account up for the 401(k) at Fidelity (since we don’t hold any of our clients’ funds). The funds that you don’t invest in the business will be at this Fidelity account and you can invest those funds however you see fit (e.g., mutual funds, stock, bonds , real estate, notes, metals, etc.).
