Where To Go When Banks Say No

Many banks do not lend today without collateral, and entrepreneurs look for additional funding options to help launch their business.
In a  survey on alternative investment strategies, “Retirement Fund Programs in Franchising,”  FRANdata, shows a growing number of  businesses using rollover funding to start or recapitalize a business.  For almost 40% of respondents, the total required investment needed to fund the start-up of their business came from the use of such rollover retirement funds.  Additionally, they are able to finance their investment by using only a portion of their retirement assets, investing a weighted average of 52% of total Retirement assets. Which still allows them to keep their safety net of retirement funds.  The best part is, when rolling over  retirement funds to start a business, you do not incur penalties or tax and can start your business debt free.
Outside of retirement funds, survey participants mostly considered home equity or other resources, followed by extended family resources.
More than 60% of ROBS transactions were used to start franchise businesses, FRANdata says. The financing technique had an $8 billion impact on the economy in 2009, generating 62,000 direct and indirect jobs.  “Business is up 40% this year,” says Leonard Fischer, Founder of Benetrends. “We’ve done 1,500 rollovers [ROBS] plans with an average transaction of $175,000 for every type of business imaginable this year.”
Benetrends is the original architect of rollover funding and has helped over 10,000 business owners in the last 30 years.  We have an in-house team of over 65 experts who are here to not only help you find the right funding solution to start your business, we also help with planning, administration, commercial insurance, health insurance, payroll and human resource services –for the life of   your business.