"C" corporations, Limited liability companies, Partnerships, Private debt placements
Small businesses are the backbone of the United States economy and investing in them is an option for your retirement plan. All around us, people are raising money to start, grow, or buy a business and your IRA can participate. Your IRA can invest in all different types of businesses, including "C" corporations, limited liability companies, partnerships, hedge funds, and private debt placements. About the only option unavailable to your IRA are shares of an "S" corporation.
"S" corporations have to give up their favorable tax status if they accept IRA investments.
Investing in private businesses presents a great growth opportunity for your retirement portfolio. As with any growth-type investment, this area comes with its share of risks, and the rules governing prohibited transactions must be followed. Security Trust can help guide you to your own successful growth company strategy!