Advanta IRA Services Educates Investors on the Benefits and Risks of Going Private with a Self-Directed IRA

Share Article

One way that LLCs, C corporations, limited partnerships and other private entities acquire funding to grow their business is by offering investment opportunities to private investors. By doing so, these entities maintain a considerable amount of control over their business – with private status – while still enjoying many of the financial benefits available to public corporations.

News Image
Common examples of private placements include stock in a local community bank, a venture capital investment in a startup tech or medical firm, a hedge fund or even a group of private investors pooling capital in LLCs to make a larger real estate purchase.

Private placements are often exempt from Securities and Exchange Commission (SEC) registration and reporting requirements, and it is critical that investors know these types of investments pose several tax and structuring challenges. For this reason, the SEC dictates that private placements be made available only to experienced and sophisticated investors who can properly assess the risks and merits of these investments. “Opportunities are offered to an exclusive group of individual investors who share a similar vision of the company seeking funding or for those who have relevant industry expertise,” says Jack Callahan, Managing Partner at Advanta IRA Services.

Since private placements are not offered on the open market, they are not available through most typical IRA accounts. However, qualified investors can use funds from self-directed IRAs to invest in private placements. Those who do find this is a great way to diversify retirement portfolios. “Common examples of private placements include stock in a local community bank, a venture capital investment in a startup tech or medical firm, a hedge fund or even a group of private investors pooling capital in LLCs to make a larger real estate purchase,” says Callahan. There are many other options available for investors who deem private placements are the right type of investment their portfolios.

On December 20, 2013, Advanta IRA Services in Tampa, Florida is holding a lunch and learn designed to teach investors about the advantages and complexities of private lending.

During this event, Advanta IRA shares the various types of loans clients have made with self-directed IRAs and the potential benefits private lending offers. Potential risks, such as disqualified persons and prohibited transactions are covered in detail, as well. Advanta IRA explains how an IRA can actually be the borrower on a transaction and discusses the structure of non-recourse loans. Checkbook IRAs will also be covered.

Event: Lunch & Learn – Going Private with Your Self-Directed IRA
Date: December 20, 2013
Time: 12:00 – 1:30pm
Location: 13191 Starkey Road, Ste. 9, Largo, FL 33773
Cost: No charge. Lunch is provided.
Register: By contacting Larissa Greene by phone at (727) 581-9853 x 1140, or by emailing lgreene(at)advantairagroup(dot)com.

About Advanta IRA

Advanta IRA Services, located in Largo, Florida, has been in operation for over 10 years, providing administrative service to owners of self-directed IRAs throughout the Tampa Bay and Sarasota, Florida regions. Advanta IRA Administration offers a second location serving the Atlanta, Georgia area and surrounding regions. Both offices are managed by Jack Callahan, J.D., CFP™. Advanta IRA offers classes, seminars and other educational tools designed to assist clients in managing self-directed IRAs by investing in real estate, notes, private placements and other non-traditional assets that have the potential to maximize IRA earnings on a tax-free or tax-deferred basis.

About Jack Callahan

Jack M. Callahan, J.D., CFP™, is the managing partner at Advanta IRA Services in Largo, FL and Advanta IRA Administration in Atlanta, GA. Jack established the corporate office, Advanta IRA Services, in 2003. Prior to that, Jack delivered specialized counsel to real estate investors, small business owners and real estate professionals on tax, legal and financial matters. As an industry expert, Jack is a frequent speaker on the topic of self-directed retirement plans and an accredited continuing education instructor for the Florida and Georgia Bar Associations, Florida and Georgia Real Estate Commissions, and The American Institute of Certified Public Accountants. He earned his bachelor of science degree in finance and multinational business from Florida State University and his law degree from the University of Florida College of Law.

Share article on social media or email:

View article via:

Pdf Print

Contact Author

Scott Maurer
Follow us on
Visit website